The Times-Herald reported that Brown Steel LLC has filed for Chapter 11 bankruptcy with the US Bankruptcy Court for the Northern District of Georgia.

Creditors have filed multiple suits against Brown Steel in a bid to force the Newnan-based company into receivership following a series of alleged failures to make payments on millions of dollars of debt.

The most recent lawsuit, filed by plaintiff Colonial Bank of Alabama earlier this month in Coweta County Superior Court, demanded "immediate appointment of a receiver and injunctive relief" against the company, located at 140 Amlajack Way in Shenandoah Industrial Park and headed by Mark A. Brown, president.

Colonial alleged that Brown Steel's debts go back to a series of loans made in 2007. Brown Steel allegedly failed to make its scheduled May 1 and June 1 payments on two separate notes totaling approximately USD 36,000.

Brown Steel answered that lawsuit by filing a "Suggestion of Bankruptcy" with the Superior Court on June 22. In the filing, Brown Steel stated that it filed for bankruptcy protection on June 18, and the bankruptcy should operate as "a stay of these proceedings" in the Coweta Superior Court.

Brown Steel said in the filing it will develop a bankruptcy plan and file a disclosure statement by October 16, and it will file a statement of financial affairs by July 6.

Brown Steel LLC had about 60 employees in 2007.