UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
October 17, 2003
(Date of report)
ABLE ENERGY, INC.
(Exact Name of Registrant as Specified in its Charter)
Delaware 333-59109 22-3520840
(State of Incorporation) (Commission File Number) (IRS Employer ID)
198 Green Pond Road
Rockaway, NJ 07866
(Address of principle executive offices)
(973) 625-1012
(Registrant's telephone number, including area code)
(Former name or former address, if changed since last report)
ITEM 5. Other Events.
On March 14, 2003, Able Energy, Inc. (the "Company") experienced an
explosion and fire at its Newton, New Jersey facility which resulted in the
destruction of an office building on the site, as well as damage to 18 company
vehicles and neighboring properties. Due to the immediate response by employees
at the site, a quick evacuation of all personnel occurred prior to the
explosion, preventing any serious injuries. Results of the Company's
investigation indicate that the explosion was an accident. An investigation by
the New Jersey Department of Community Affairs, (the agency having regulatory
jurisdiction over the handling of liquefied petroleum gas or "propane") alleges
that the accident occurred as a result of the failure to follow prescribed state
regulations for the handling of propane. For the fiscal year ended June 30,
2003, the Company's revenues from its propane business accounted for
approximately 6.23% of total gross revenues.
In a complaint dated October 6, 2003, the New Jersey Department of
Community Affairs commenced a civil action against the Company alleging repeated
violations of state propane regulations and seeking injunctive relief enjoining
the Company, its subsidiaries, affiliated companies, agents, employees and
corporate officers, from engaging in the distribution, sale, purchase or receipt
of liquefied petroleum gas and from engaging in any from any business operations
for the distribution and sale of liquefied petroleum gas. Pursuant to an order
dated October 15, 2003, the Superior Court of New Jersey ordered a hearing to be
held on November 12, 2003, at which time the Company shall show cause why a
preliminary injunction shall not be ordered preliminarily enjoining the Company,
its subsidiaries, affiliated companies, agents, employees and corporate
officers, from engaging in the distribution, sale, purchase or receipt of
liquefied petroleum gas and from engaging in any form of business operations for
the distribution and sale of liquefied petroleum gas.
The Court also ordered certain temporary restraints upon the Company,
Able Propane, LLC, the Company's majority owned subsidiary and the Company's
other subsidiaries, which will be imposed until the conclusion of the November
12 hearing. The order states that Able Propane will retain the assistance of
Boyer Safety Services, experts in the propane industry, to assume responsibility
and authority of Able Propane's daily operational, compliance and/or safety
issues relating to its propane business. Boyer's responsibilities will include
the supervisory responsibility and authority, for purposes of compliance, for
all equipment, tanks, vehicles and real property used and/or owned by Able
Propane in the sale, transport, storage and distribution of propane and the
supervision over, and hiring and termination of the employees engaged in propane
operations. Boyer's responsibilities will not include administrative, business
or financial matters, however, Boyer may make recommendations relating to these
matters to the extent that they affect operational, compliance and/or safety
issues.
The order prohibits the Company, Able Propane, and the Company's other
subsidiaries from entering into any new delivery or installation contracts for
the delivery of propane other than those customers existing on the date of the
order. Able Propane may, however, honor contracts, commitments or arrangements
entered into prior to the date of the order. The Company is vigorously disputing
that it is a proper party to the action and is contesting any administrative and
equitable remedies sought by the Department of Community Affairs.
SIGNATURE
Pursuant to the requirements of Section 13 or 15(d) of the Securities
Exchange Act of 1934, the Registrant has duly caused this report to be signed on
its behalf by the Undersigned, thereunto duly authorized.
ABLE ENERGY, INC.
By: /s/ Christopher Westad
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Christopher Westad
President
Dated: October 17, 2003