Bankruptcy judge appoints trustee to manage BK Racing

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CHARLOTTE, North Carolina – A U.S. Bankruptcy Judge assigned a trustee to take over BK Racing and replace car owner Ron Devine as the team’s financial decision maker Wednesday evening.

“It’s a sad day for BK,” Devine said after leaving the federal courthouse.

Said NASCAR in a statement: “We have a clear process around charter member governance. It is incumbent upon charter members to be ready to race and compete at the highest level.”

The judge’s decision allows the team to continue to race. One of the roles of the trustee will be to determine if the team remains a viable business and can make money. If not, an option would be to sell the team’s assets, including its charter.

“I think it’s in everyone’s best interests that this business continue in the short run,” Judge J. Craig Whitley said in making his ruling.

The team ranks 35th in car owner points after Gray Gaulding‘s 36th-place finish Monday at Martinsville Speedway.

Matthew Smith, managing director of The Finley Group, will oversee the BK Racing’s finances.

“The goal is to find a way to race as long as we can,” Smith said on the stand Wednesday.

Smith, a member of the North Carolina Motorsports Advisory Council for three years, noted that it was not clear how much cash BK Racing has, citing incomplete records and documents not filed in court.

Union Bank & Trust claims it is owed more $8 million. The IRS states that the team owes more than $2 million. Creditors have until April 26 to file claims.

BK Racing filed for Chapter 11 bankruptcy on Feb. 15. Devine said on Feb. 16 that he filed for bankruptcy “because the bank wouldn’t stop trying to get a receiver (to oversee the team’s collateral). The only reason they wanted to get a receiver was to push the charter off to their third-party offer. That’s where the problem was.’’

BK Racing has not shown a profit since debuting in 2012. Court documents show that the team lost nearly $30 million from 2014-16.

A former employee and a current employee of the team both testified Wednesday of paychecks that bounced last year. Former tire specialist Jason Postma testified he had a BK payroll check bounce in September 2017 and had BK payroll checks bounce in November 2017 and December 2017 before leaving the team.

“We need someone to step in temporarily and stop this from snowballing,’’ testified Jeff Lemons, who runs the machine shop at BK Racing, on having a trustee appointed.

The team sold one of its charters before the 2017 season to Front Row Motorsports for $2 million. Devine, who spent five hours on the stand over two days, stated in court and he thought the bank’s goal is to sell the charter to recoup some of money owed.

“I’m disappointed, obviously,” Devine said of Wednesday’s decision. “We’ll see. The judge made his ruling. I respect that. We’ll talk about if there’s a next step, an appeal or anything like that.”

Devine said he planned to talk to sponsor EarthWater, which had signed an agreement last week to sponsor the team for the rest of year. The contract is valued at $3.6 million and can be paid in cash, EarthWater stock and product. There is a clause in the contract that the contract is null and void if Devine is not operating the team.

The judge encouraged Devine and BK Racing’s employees to work with Smith, the trustee, to help the team recover from its financial debt. Devine said he was unsure if he would do so.

“My sense is that he probably just wants me to get out of his way,” Devine said.

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Kyle Larson wins Bristol Xfinity race in overtime

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Kyle Larson held off Christopher Bell and Justin Allgaier in an overtime finish Friday night to win the Food City 300 at Bristol Motor Speedway.

Larson led 202 of 310 laps and swept both stages on the way to his fourth Xfinity win of the season and 12th of his career.

The top five was completed by Cole Custer and Joey Logano.

The win was Larson’s first at Bristol in 18 Cup and Xfinity starts (including six top-five finishes in his previous eight Xfinity races at the track). Larson has won in four of his six starts this year (and didn’t finish the other two).

Larson dominated after pole-sitter Kyle Busch wrecked from first after leading the first 69 laps.

“It feels really good, I just wish Kyle Busch wouldn’t have had his troubles so I could have raced him,” Larson told NBCSN. “It still feels really good to win a race here at Bristol finally. I’ve been close so many times. This is my best track by far, this and Homestead.”

The overtime finish was set up by a Daniel Hemric wreck with two laps to go in the original 300-lap distance.

“We had that yellow there coming to two to go, I was like, ‘Man, again. Again I’m going to lose one here late,” Larson said. “We were able to get an average restart and get the win.”

STAGE 1 WINNER: Kyle Larson

STAGE 2 WINNER: Kyle Larson

WHO HAD A GOOD RACE: Justin Allgaier earned his career-best 10th consecutive top 10 … Cole Custer placed fourth for his best Bristol finish in four starts … Michael Annett placed seventh for his first top 10 of the season …  JA Junior Avila placed 20th in his series debut.

WHO HAD A BAD RACE: Kyle Busch was having a good night until he tagged the wall around Lap 66 while leading. On Lap 70, he lost a tire and got into the wall, causing enough damage to end his night. He finished 36th … Spencer Boyd and Vinnie Miller wrecked to bring out the second caution on Lap 105. Miller caused another caution on Lap 160 … Chase Briscoe was eliminated when he spun and hit the inside wall on Lap 142. He placed 34th.

QUOTE OF THE NIGHT: “I’d love to race him on dirt. I ain’t done much of that. ” – Kyle Larson on Christopher Bell

WHAT’S NEXT: Johnsonville 180 at Road America at 3:30 p.m. ET on Aug. 25 on NBCSN.

Starting lineup for Cup Bristol night race

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Kyle Larson and Chase Elliott will lead the field to the green flag in Saturday night’s Cup race at Bristol Motor Speedway (6:46 p.m. ET).

Larson starts from the pole position for the third time this year.

Kyle Busch, Paul Menard and William Byron rounded out the top five.

Click here for the starting lineup.

Kyle Larson on pole for Cup race at Bristol

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Kyle Larson won the pole position for Saturday’s Cup Series race at Bristol Motor Speedway (6:46 p.m. ET on NBCSN) with a top speed of 127.792 mph around the half-mile track.

Larson bested Chase Elliott (127.665) and Kyle Busch (127.639) to earn his third pole of the season and the seventh of his career.

Paul Menard and William Byron rounded out the top five. Menard matched his best Bristol start from 2011 while Byron earned his career-best qualifying result in 24 starts.

“The top five there was tight,” Larson told NBCSN. “I saw William run his .04 there before I went out. ‘That’s going to be hard to beat.’ I would never have thought three other guys would squeeze between him and I for first and second. That shows how tough our sport is and our series is.”

Larson’s previous poles this year were at Dover and Sonoma. He has started on the front row in three of the last four Bristol races.

The top 10 was rounded out by Kevin Harvick, Denny Hamlin, Aric Almirola, Kurt Busch and Ryan Blaney.

Jimmie Johnson qualified 13th. He was followed by Erik Jones, David Ragan, Clint Bowyer, Martin Truex Jr. and Austin Dillon.

“We were really fast in the first round, it just didn’t really transfer over to the second round,” Jones, who won his first career pole in this race last year, told NBCSN. “Lost a lot of grip, lost a lot of speed. I think going early, the track was still a little bit hot, and we didn’t have quite a car that was ready for that.”

AJ Allmendinger qualified 25th and was followed by Kasey Kahne and Bubba Wallace.

B.J. McLeod failed to qualify.

Click here for qualifying results.

Kyle Busch wins Bristol Xfinity pole

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Kyle Busch will start first in tonight’s Xfinity Series race at Bristol Motor Speedway (7:28 p.m. ET on NBCSN) after posting a top speed of 124.686 mph in qualifying.

It is Busch’s first pole in seven starts this season. It is his sixth Xfinity pole at Bristol.

The top five is completed by Christopher Bell, Kyle Larson, Joey Logano and Matt Tifft.

Logano’s fourth-place start is the worst of his five Xfinity starts this year.

Elliott Sadler will start sixth, his best start at Bristol since 2014.

Chase Briscoe, Tyler Reddick, Chase Elliott, Ryan Reed, Austin Cindric and Ross Chastain were among those who did not advance to the final round.

Michael Annett will start 22nd after he spun and made light contact with the wall late in Round 1. He advanced to Round 2 but did not make a qualifying attempt.

Click here for qualifying results.