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Judge Appoints Receiver for ColorArt as Loan Default and Allegations Mount
Tonernews.com | November 5, 2025. In a dramatic turn of events, a St. Louis County judge has appointed a receiver to take control of ColorArt LLC, a Missouri-based printing company, after it defaulted on a staggering $26 million loan. The lawsuit, filed by Aequum Capital Financial II LLC, claims that ColorArt, led by Eran Salu, along with its affiliate Las Vegas Color Graphics Inc., breached their credit agreement, triggering a series of troubling allegations.
The lender accuses ColorArt of inflating collateral values, with overstated accounts receivable and inventory, as well as misappropriating company funds to affiliated entities. Reports from a recent inspection also highlighted serious operational issues, including an under-staffed facility and a near-empty plant, raising red flags about the company’s financial health.
To oversee the troubled company, Judge Heather Cunningham has appointed NMBL Strategies, led by Eric Moraczewski, as receiver. Their job is to safeguard the company’s assets and explore options to recover the debts, which may include selling off assets. Despite ColorArt’s attempts to block the receivership by citing a contract clause that designates ok County, Illinois as the proper jurisdiction, the judge allowed the case to proceed in St. Louis. This latest legal blow casts doubt on the future of ColorArt, which was acquired by JAL Equity in 2021 and expanded into a national network of print facilities.
Key Highlights:
- $26M loan default sparks legal battle.
- Allegations of financial misconduct and operational mismanagement.
- Receiver appointed to manage assets and operations.
- ColorArt’s future hangs in the balance as court proceedings continue.
Follow the latest updates on this unfolding story at Tonernews.com.
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