| One of the largest auctions of heavy equipment in the state will be held Thursday in Jackson County.
The assets of what once was one of the largest pipeline and construction companies in the US will go on sale following Chapter 11 bankruptcy last year.
Nearly 1000 pieces of heavy machinery will be auctioned off at the company's headquarters in Sandyville. The auction is expected to gross at least $6.5 million for the company.
Carl E. Smith Petroleum, a subsidiary of the company, has not filed for bankruptcy protection and continues to carry on its regular operations.
In 1998, Eddie and Donald Smith were accused of embezzling $21 million by their brother Larry D. Smith.
According to the Secretary of State's Office, Eddie B. Smith is listed as the president of Carl E. Smith Inc. His brother, Donald P. Smith, and his son, Michael Smith, also are listed as shareholders.
Court documents say Eddie and Donald Smith used corporate funds to purchase personal vehicles, snowmobiles and horses, among other items. They were accused of paying salaries to family members and friends who did not work for the company.
They were also accused of paying themselves huge bonuses and salaries totaling $8.7 million from 1998 to 2001, depriving shareholders of dividends for those years.
Some of the items for sale include: 36 Caterpillar pipelayers; 52 Caterpillar crawler tractors; 18 John Deere hydraulic excavators; 10 cranes; 18 flatbed trucks; 58 pickup trucks; 18 SUVs; 21 buses and hundreds of other items.
Bids for any of these items can be placed in person on the day of the auction or online. More information, including a complete list of items up for bid, is available online at www.passyauctions.com
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