Universal Systems House files for Chap. 7

Universal Systems House Inc., a computer software training center and computer dealer, June 30 filed for protection from 142 creditors under Chapter 7 of the U.S. Bankruptcy Code. The company closed its doors and canceled classes at its leased facility at 3534 E. Sunshine in late May. The closing resulted from disagreements among its two shareholders, Roger Best and Robert Guyer, and its board of directors regarding the company's financial condition, according to Guyer's attorney, David Schroeder.

Schroeder said the company's equipment has been moved out of the 15,000-square-foot building on East Sunshine and into storage, and USH entered into Chapter 7 liquidation proceedings instead of Chapter 11 reorganization proceedings because there was no hope of it reopening and returning to profitability.

"The company was basically insolvent," Schroeder said.

USH filed the bankruptcy petition under the bankruptcy court's quick file system so that a trustee could be immediately appointed to determine USH's assets and possibly pursue preference recovery actions against certain creditors, according to the petition. U.S. trustee J. Kevin Checkett was appointed in the case and notices to the company's creditors were sent out July 2. Schroeder said July 12 that he was required to file a determination of the company's assets and liabilities with the court by July 14.

USH was the first Microsoft Certified Technical Education Center in the area and reported 20 employees in February. It specialized in training and network design and implementation for local area networks and wide area networks.

ServiceWorld Computer Center Inc. has picked up many of USH's former students after becoming a Microsoft Certified Technical Education Center in May, according to Doug Pitt, ServiceWorld president.

"We've had quite a few of their customers come over. We've offered discounts and we've been able to get some free or reduced-price courseware for them from Microsoft. I've been pleased with the number of calls we've had, it's helped us strengthen our class schedule," Pitt said.

He said many of USH's former customers are not financially able to start training again after having already paid USH for the classes, which range from $825 to $1,300 per class and about $6,000 total to become Microsoft certified, Pitt said.

"It was odd timing, because we worked on that certification for a year and got it three weeks before USH closed, but I'm glad we were in a position to help," Pitt said.

Dave and Judy Wolfe founded USH in 1981 as a wholesale distributor of computer books and software.

In 1983, it began offering computer technical support, hardware sales and software installation. The Wolfes incorporated in 1990, and Guyer bought into the business in 1994. The Wolfes sold USH to two former employees, Best and Gerould Sims, in June 1996, with Guyer continuing as a shareholder.

Guyer is the president and majority shareholder in the now defunct company, according to his attorney.

Best could not be reached for comment and phone calls to his attorney's office were not returned.

A first meeting of creditors in the USH bankruptcy case is scheduled for 11:30 a.m. July 28 at the U.S. Courthouse, 222 N. John Q. Hammons Pkwy.