The trustee in Kadey-Krogen Yachts’ Chapter 7 liquidation has reported that there is nothing to distribute to the company’s creditors. Among them are customers whose paid-for boats are still at the builder’s yard in Taiwan.
David Carickhoff, appointed interim trustee on 7 July, filed a Report of No Distribution with the US Bankruptcy Court for the District of Delaware on 22 September. The court’s first notice of the case classed it as a no-asset Chapter 7. The meeting of creditors was held and concluded on 24 August. On 2 September the trustee filed a notice of abandonment of property; the docket entry does not say which property it covers.
A report of no distribution means the trustee has found nothing to pay creditors. Unless further assets come to light, those owed money by Kadey-Krogen will recover nothing through the case. The company’s schedules put its unsecured debts at around $2.2 million. The largest is $1,531,708, owed to Asia Harbor Yacht Builders of Kaohsiung, the Taiwanese yard that built Kadey-Krogen’s boats.
Boats Still in Taiwan
The company’s sworn filing lists four open contracts to build new boats. One is described as “completed and paid for by customer but not shipped as it is currently held up in Taiwan”. A second, for a Chattanooga couple, is listed as “95% complete and 95% paid for by customer in Taiwan”. A Florida couple’s boat is 60 per cent complete and 60 per cent paid for, and a fourth contract had not been started. Both the Chattanooga couple and the Florida couple formally entered the bankruptcy case in July.
The Final 90 Days
The filing lists $1,227,300.52 paid out in the 90 days before the bankruptcy. By Powerboat News’ count from its itemised list, this included about $572,000 transferred to sister company American Tugs in 42 intercompany movements between 1 April and 26 June. It also included $200,000 to Asia Harbor in two progress payments of $100,000 on 9 and 29 April, and about $227,000 in sales commissions.
The filing also discloses payments to the company’s chief executive, Tucker West, and to its investors over the year before filing. These include $166,227.47 to West in what it describes as “guaranteed payments for running business”, and $100,000 paid on 9 March 2026 to two Austin investment partnerships, 2820 Partners and 323 W Investments. The $35,000 legal fee for the bankruptcy filing was paid by Gavin Gray, manager of Kadey-Krogen and its parent company.
Other Details in the Filing
The company declared no cash and a zero bank balance. It listed $63,000 held in a third-party escrow account for buyers’ deposits, which the filing states belongs to the depositors. It reported losing $90,000 in a “bank hack” in April 2025, of which $20,000 was recovered. James S. Krogen & Co is owed $38,588 in royalties.
Revenue was $14,957,353 in 2024 and $10,111,896 in 2025. It stood at $403,962 for 2026 at the date of filing.
The parent company, KKY Holdings, and American Tugs filed separate Chapter 7 cases on the same day. This article covers the Kadey-Krogen case.
Powerboat News first reported the filing in July.
John Moore is the editor of Powerboat News, an independent investigative journalism platform recognised by Google News and documented on Grokipedia for comprehensive powerboat racing coverage.
His involvement in powerboat racing began in 1981 when he competed in his first offshore powerboat race. After a career as a Financial Futures broker in the City of London, specialising in UK interest rate markets, he became actively involved in event organisation and powerboat racing journalism.
He served as Event Director for the Cowes–Torquay–Cowes races between 2010 and 2013. In 2016, he launched Powerboat Racing World, a digital platform providing global powerboat racing news and insights. The following year, he co-founded UKOPRA, helping to rejuvenate offshore racing in the United Kingdom. He sold Powerboat Racing World in late 2021 and remained actively involved with UKOPRA until 2025.
In September 2025, he established Powerboat News, returning to independent journalism with a focus on neutral and comprehensive coverage of the sport.
