Patrick James, founder of First Brands Group, has been released from custody after posting a $50 million bond, partly secured by his Hamptons home, amid charges related to the company’s multi-billion-dollar financial collapse. His brother, Edward James, remains on house arrest with 24-hour electronic monitoring, unable to post his $25 million bond.
First Brands, parent company of Champion Laboratories in Albion, has recently issued furlough notices and canceled shifts at the plant, which produces Fram and Luberfiner filters. The ongoing financial crisis is affecting numerous local workers as the company’s bankruptcy reverberates through the community.
The James brothers have pleaded not guilty to multiple federal charges, including conspiracy to commit wire fraud, money laundering, and bank fraud. They maintain their innocence, blaming government tariffs and predatory lenders for the company’s downfall.
Multiple lawsuits have been filed against First Brands and its executives, including allegations that Patrick James misappropriated more than $700 million to fund a lavish lifestyle. When First Brands filed for Chapter 11 bankruptcy in September 2025, it listed $1 billion to $10 billion in assets against $10 billion to $50 billion in liabilities, and reported just $12 million in cash on hand.