Court orders Uncle Nearest to be managed by a receiver

Friction point: Lender Farm Credit Mid-America sued Uncle Nearest and the Weavers earlier this month for $108 million in unpaid loans and lines of credit.

• Uncle Nearest attributed the financial distress to fraudulent activity by a former top executive.

Yes, but: Federal Judge Charles Atchley ruled the company is responsible for the conduct of one of its officers.

• In his ruling, Atchley expressed concerns about Uncle Nearest's solvency and other major financial issues. Atchley has not chosen who will serve as the receiver.
• He indicated he will craft a receivership order allowing the Weavers to continue marketing the whiskey.

State of play: A gag order prevents both sides from discussing the case.

What's next: The receivership calls into question the future of the distillery, which has enjoyed steady growth over the last 10 years. In addition to Uncle Nearest whiskey fans, the distillery property is a tourist attraction in Tullahoma.