Towing companies across the country are voluntarily filing for bankruptcy amid ongoing financial pressure. The latest company to file is Ascension Towing and Recovery, LLC.
Court filings show the Saint Amant, Louisiana-based towing company has a significant gap between its assets and liabilities. The company’s bankruptcy filing appears aimed at restructuring its finances under court supervision.
Ascension Towing and Recovery, LLC Files for Bankruptcy
The company submitted its petition on May 19, 2026, which showed that it met the requirements of a small business debtor.
Case filings add that it chose to move further using the Subchapter V provision of Chapter 11. This filing type typically allows for a faster and more cost-efficient bankruptcy process.
According to PACER, the proceedings are currently being held in the U.S. Bankruptcy Court for the Middle District of Louisiana.
Case Related Details
Attorney Ryan J. Richmond of Sternberg, Naccari & White, LLC represents Ascension Towing and Recovery, LLC. Filing records add that Frank A. Credidio signed the petition before it was submitted to the court.
The details in the Chapter 11 petition show that the towing company has up to 49 creditors. Court filings indicate that funds will be available for distribution to the unsecured creditors.
Another highlight of the petition is the gap between the estimated assets and liabilities. The company has listed its assets between $500,000 and $1 million. On the contrary, its liabilities, as per the filings, were in the range of $1 million to $10 million.
A summary of the petition includes:
- Filing Date: May 19, 2026
- Court and Jurisdiction: U.S. Bankruptcy Court for the Middle District of Louisiana
- Type of Filing: Active, Voluntary Petition
- Chapter: 11, Subchapter V
- Case Number: 26-10439
- Estimated Assets: Between $500,001 and $1 million
- Estimated Liabilities: Between $1,000,001 and $10 million
- Estimated Creditors: Between 1 and 49
- Reason for Filing: Restructure business under court supervision
About the Company
According to its Facebook page, Ascension Towing and Recovery, LLC offers a range of services, including towing and recovery and private property removal. The Saint Amant, Louisiana-based company also hauls portable buildings and sea cans.
The company is also known for selling used cars along with used parts and tires.
Previous Filings by Similar Companies
The towing sector has been facing a series of bankruptcy cases in 2026, with a range of providers across the U.S. making a move to readjust their finances.
A towing company from Columbia, Maryland entered a Chapter 11 process using Subchapter V filing on April 17, 2026. Founded in 2014, the company offers towing and roadside assistance services. Service areas include Columbia, Baltimore, and Ellicott City. It hoped to readjust its operations through the filing.
Texas-based Sheffield Towing Service, LLC, is another towing firm that turned to bankruptcy protection. Its move to proceed with a Chapter 11 process on January 2, 2026, came after a lawsuit from the previous year. Based on it, the company was supposed to pay more than $1 million to a plaintiff. WE West Texas Towco LLC, one of its affiliates, had also filed on the same date.
The case adds to a series of 2026 filings involving towing companies facing financial pressure across the U.S. The company’s financial future is expected to depend on upcoming court rulings.
