First Brands closing corporate office in Cleveland, three other Ohio facilities amid bankruptcy. Its CEO is facing federal fraud charges
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- Auto parts supplier First Brands is closing four Ohio facilities, including its Cleveland corporate office.
- The closures will result in the permanent layoff of more than 1,200 workers by the end of April.
- The company’s founder and former CEO and his brother are facing federal charges in an alleged multi-billion dollar fraud scheme.
- First Brands, which supplies products like Fram oil filters, filed for Chapter 11 bankruptcy in September 2025.
A major auto parts supplier is laying off more than a thousand workers and closing four facilities around Ohio, including its corporate offices in Cleveland.
First Brands, whose founder and former CEO is facing charges in multi-billion dollar fraud scheme, notified the state in late February of its intent to permanently close the facilities by April 30. The layoffs created by these closures are also permanent, according to the Worker Adjustment and Retraining Notification Act notices filed with Ohio Job and Family Services.
The company — which supplies Fram oil filters and Anco wiper blades, among others — filed for Chapter 11 bankruptcy in September 2025. In January, First Brands had started winding down some of its operations in North America while seeking a buyer, according to Reuters. However, several potential buyers “have suddenly and unexpectedly withdrawn or narrowed their bids” according to one of the recent WARN notices.
Which facilities are closing? And how many jobs are being lost? Here’s what to know.
First Brands closing four Ohio locations, cutting more than 1,200 jobs
According to WARN notices, First Brands is closing the following facilities:
- Corporate Office, 127 Public Square, Suite 5300, Cleveland. In the first round of layoffs here, 146 workers were cut on Feb. 23, according to a WARN notice sent that date. A second notice dated Feb. 27 for this address advises that the facility will close on April 30, and the remaining 110 workers will be laid off.
- FRAM facility, 851 Jackson St., Greenville. According to a WARN notice sent Feb. 27, this facility will close April 30 and 302 jobs will be lost.
- TMD facility, 1441 N. Maule Road, Tiffin. All 407 employees will be terminated when this facility is permanently closed on April 30, according to a Feb. 27 WARN notice.
- TMD facility, 515 E. Gypsy Lane Road, Bowling Green. First Brands will also close this facility on April 30, laying off 302 workers, according to another Feb. 27 WARN notice.
In total, First Brands is laying off 1,267 workers in these four closures.
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Indictment alleges Cleveland auto supplier CEO, VP defrauded lenders. Both plead not guilty
First Brands Group founder and former CEO Patrick James and his brother, Edward, a senior vice president, are accused of defrauding lenders out of billions of dollars before the auto parts supplier fell into bankruptcy according to an indictment made public Jan. 29 in Manhattan federal court.
The nine-count indictment includes charges of running a continuing financial crimes enterprise, bank fraud, wire fraud and money laundering conspiracy. Both pleaded not guilty on Feb. 4, Reuters reports. A trial is set in July. Both could face decades in prison if convicted.
Prosecutors said the defendants “perpetrated a series of fraudulent schemes” against First Brands’ lenders and financing partners, Reuters reported, including allegedly inflating invoices, double- and triple-pledging loan collateral, falsifying financial statements and concealing substantial liabilities.
“It is very much Mr. James’ intent to go into court and proclaim his innocence,” said Scott Hartman, a lawyer for Patrick James, according to Reuters.
Patrick James and Edward James are Malaysian-born U.S. citizens.
Seth DuCharme, a lawyer for Edward James, told Reuters that his client is not going to “run off to Southeast Asia where he allegedly has all this money.”
What is First Brands Group? Company filed for bankruptcy in September
First Brands, founded in 2013, was one of the world’s largest suppliers of auto parts such as brakes, filters and lighting systems, according to Reuters. It had $5 billion in sales last year.
Prosecutors say First Brands borrowed billions to finance its growth. Those loans were secured by inventory and physical assets like plants and equipment. Reuters reports that this left First Brands vulnerable to cash flow issues and dependent on its access to the capital from those loans.
The company filed for bankruptcy in September 2025. Patrick James stepped down as CEO that October, according to Crain’s Detroit Business.