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Omnis Fuel Technologies and Quantum Pleasants filed an omnibus objection to the first-day motions that asks the Court to dismiss Omnis Pleasants’ Chapter 11 case as a bad-faith filing. The objectors contend that the debtor had approximately $13 million of cash on hand, was not pursuing a genuine reorganization, and should not receive the requested first-day relief, including cash-collateral-related protections.
The dispute therefore reaches beyond the plant-sale and state-loan issues already reported: it directly contests the debtor’s authority to remain in Chapter 11 and access the operating relief needed to run the Pleasants Power Station while the ownership fight continues.
The creditor picture now includes more than 600 parties, including 70 in West Virginia, with the West Virginia Economic Development Authority holding the largest identified unsecured claim at $50.893 million. The state authority declared defaults in July 2025, including alleged misuse of loan proceeds, and has rejected any resolution that would restore former management after the loan matured unpaid in June 2026, according to The Herald-Dispatch.
The debtor also reported that approximately $39.6 million of authority-funded proceeds flowed directly to Industrial Accessories Company accounts without a meaningful accounting from that company or prior management. Those allegations create potential estate claims and a significant governance dispute alongside the lender-controlled sale process. Omnis is soliciting strategic buyers for a stalking-horse transaction and expects an independent buyer to continue operating the 1,278-MW Pleasants Power Station; recoveries and transaction certainty will therefore depend not only on sale value, but also on resolving the state lender’s claim and tracing the disputed transfers.
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