Local grocery store chain Borowiak’s IGA has filed for bankruptcy.

Borowiak IGA Foodliner, Inc. filed for Chapter 11 Bankruptcy on Sept. 17 in the Southern District of Illinois United States Bankruptcy Court in Benton, Ill. The family-owned business has retained Douglas Antonik of Mount Vernon, Ill. to represent them in bankruptcy proceedings.

Chapter 11 Bankruptcy is designed to allow those in debt to reorganize or liquidate their debt in accordance with a plan approved by the courts. Once that plan has been approved, creditors are no longer able to attempt collections by means other than those laid out within it.

The grocery chain includes three stores open for business, including locations in Albion, Mount Carmel and Carterville. It was announced in mid-June 2019 that the chain would be closing locations in Mount Vernon and Centralia, Ill. within 60 days, citing the impact of large “chain stores” as part of the reason for the closures.

Borowiak’s also closed its Grayville store on May 30, 2019. In early November 2018, the Grayville City Council had allowed the store to sell alcohol and voted to use some of its TIF money to pay off the remaining $32,000 of a $42,000 renovation project for the store’s parking lot in order to try and keep the store open.

The city had previously provided the initial $10,000 toward the project through its TIF Fund as well.

While the corporation is under Chapter 11, they cannot be sued or have property repossessed in relation to any debt owed to a creditor.

Borowiak’s IGA owner Trevor Borowiak had not returned inquiries from The Navigator by time of press.