Oxford Street Education, LLC, the company which ran The Croft Schools, filed for Chapter 7 Bankruptcy on Friday, June 5. The initial filing is available on the case’s docket. (Those links are to CourtListener.com, a non-profit website which provides easy public access to court dockets. When documents are filed, public copies are uploaded to CourtListener, where they are hosted for anyone to see. You can bookmark the docket so you can follow along.)

A Chapter 7 bankruptcy is a liquidation proceeding, not a reorganization. Unlike Chapter 11, where a business tries to restructure its debts and keep operating, a Chapter 7 means Oxford Street Education, LLC is shutting down. The court has appointed an independent trustee whose job is to gather up whatever assets the company has, sell them, and distribute the proceeds to creditors according to a priority order fixed by federal law.

Oxford loses control of its property the moment the case is filed; from here forward, the trustee runs the show. An automatic stay also goes into effect immediately, which generally halts collection efforts, lawsuits, and other actions against the company while the case proceeds.

The voluntary petition filed June 5, 2026, together with the schedules and Statement of Financial Affairs attached to it, is essentially the company's sworn financial snapshot as of the filing date.

What comes next follows a fairly predictable rhythm:

• The court will set a "341 meeting of creditors," where the trustee and creditors can question the debtor's representative under oath.

• The clerk will issue a notice with deadlines, including a bar date by which creditors must file proofs of claim to preserve any right to a distribution.

• The trustee will investigate the company's finances—and given the insider payments and the multiple government investigations referenced in the filing, scrutiny of pre-bankruptcy transfers (potential "preference" or "fraudulent transfer" claims the trustee could pursue to claw money back into the estate) is a real possibility.

• For families and noteholders, the practical reality is that this is now a queue: secured and priority claims get paid first, and general unsecured creditors typically recover little or nothing in a case where liabilities dwarf assets this severely.

• The pending Securities Division, SEC, and U.S. Attorney matters proceed on their own separate tracks and are not resolved by the bankruptcy.

All of this legal maneuvering can be complicated. My goal is to share key filings when they happen, inform subscribers about important deadlines to file claims (for instance, if they are owed tuition deposits or prepaid tuition money), and to explain what I can to make the process less intimidating. I can’t offer legal advice, and you should speak to your own counsel. Nor can I promise I will always be timely; you should carefully read any notices you receive. I will try my best to explain what has been filed on a somewhat regular basis, and to alert you to key dates as they arise.