A beleaguered Clay County natural gas utility's bankruptcy case has ended.

US Bankruptcy Judge Ronald G. Pearson ruled yesterday that Valley Gas Company is unable to reorganize under bankruptcy court protection and dismissed the case.

Valley Gas sought bankruptcy protection in February after hundreds of Clay County residents lost gas service during the winter cold, climaxing several years of alleged problems with companies owned by John Habjam.

The West Virginia Public Service Commission convinced Clay County Circuit Judge Richard Facemire to take away control of Valley Gas and two other Clay County gas utilities from the Pennsylvania businessman.

All three companies are now under the management of Mountaineer Gas.

Habjam's bankruptcy filing complicated the case, but a day later Judge Pearson agreed with the PSC to take control away from the companies.

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