Updated
Updated · POLITICO · Jul 15
Judge Orders Kazmi Company to Pay $667,000 for Unpaid Fuel After Default
Updated
Updated · POLITICO · Jul 15

Judge Orders Kazmi Company to Pay $667,000 for Unpaid Fuel After Default

1 articles · Updated · POLITICO · Jul 15

Summary

  • $667,000 in judgment was entered in February against a company tied to businessman Kazmi after a federal judge found it took fuel over 10 days in August 2021 without fully paying.
  • The court issued a default judgment after what the judge called the defendants' and their lawyers' serial flouting of court orders and federal civil procedure rules; Kazmi had denied the allegations.
  • A separate federal ruling in January found another Kazmi company owed more than $700,000 in rent at 17 Florida gas stations and that its franchise agreements were lawfully terminated.
  • Kazmi's name surfaced as an operator of Freedom Fuel Network stations after Mountain Express Oil, the Georgia retailer that Blue Owl bought in 2021 for expansion, went bankrupt.
  • The ruling adds to scrutiny of Kazmi, who has promoted a $60 million Yum Grills gas-station restaurant plan in the Philadelphia area while his companies face multiple fuel-industry lawsuits.

Insights

How can Freedom Fuel offer deep discounts while its operator faces lawsuits for over $1.3 million in unpaid bills?
What does the operator's history of unpaid debts mean for the future of these low-priced gas stations?