Peanut Corporation of America has already filed for bankruptcy protection and will soon begin to liquidate its assets as long as the legal claims multiply against it. But considering the fact that the Peanut Corporation of America is now under criminal investigation, there’s no doubt that they went bankrupt, Bill Marler, a lawyer from Seattle, stated.

Marler represents 47 clients who sued the PCA, including the family members of the people who died because of the salmonella outbreak generated by the peanut products made in Georgia, Texas and Virginia.

Hartford Casualty Insurance, the insurer at Peanut Corporation of America, has filed a lawsuit too, hoping to eliminate any connection he might have with all the scandal. Even Lynchburg, the company which supplied the PCA with peanut products, has filed lawsuit against them.

Until now, nine deaths and 636 cases of people infected with salmonella have been connected to the products from PCA. The health officials and the authorities are still waiting for further claims after they had closed the processing plants in Blakely, Georgia and Plainview, Texas. Apparently, the company kept on producing and delivering their peanut products even if they had tested positive for salmonella.

The authorities and the FDA are now investigating the PCA’s processing facilities in Georgia, Texas and Virginia too, where some other products have been reported testing positive for the deadly bacteria. Even Stewart Parnell, the owner of the company, is under thorough investigation.

Andrew Goldstein, the company's bankruptcy attorney, stated that the PCA had expected to be able to admit all the charges, but the events which had taken place in the last few weeks made it impossible for them to recognize anything. The bankruptcy papers show that PCA has debts with almost 200 creditors and faces between $1 million and $10 million in liabilities.

King Nut and Kellogg are also being sued by Marler’s clients because the company had used products from Peanut Corporation of America as to produce their foods.