Joseph Lipsey III Relinquishes Ownership Stake In Lipsey Logistics In Light Of Charges

Joseph Lipsey III, the now former chief executive officer of Lipsey Logistics Worldwide, has relinquished his ownership shares in the company, according to a letter sent to customers by new CEO Johnny Jones.

In the letter, Jones clarifies the new executive structure of the company and reiterates that Lipsey III is no longer involved. Lipsey III, his wife Shira and son Joseph Lipsey IV were arrested in Aspen, Colorado, last week on drug-related charges. The father faces charges related to distribution of cocaine to a minor, three counts of serving alcohol to a minor, possession of drug paraphernalia, and providing nicotine to minors. Lipsey's wife Shira and son, Joseph Lipsey IV, were arrested on similar counts.

In the letter to Lipsey customers on Monday afternoon, Jones noted Chattanooga-based Lipsey Logistics and Lipsey Trucking are not involved in any of the allegations.

"While the allegations relate to personal matters and have nothing to do with our business, the company takes them seriously and does not wish for them to distract from our operations. Mr. Lipsey has transferred all of his voting shares in the company to me," Jones wrote. "As you know from our prior business dealings, Mr. Lipsey was principally an investor in this company and has never been involved in its day-to-day operations. Regardless, I can assure you that his exit from the business is immediate and permanent and that he will have no ownership of or control over the companies going forward."

Jones has been appointed CEO of Lipsey Logistics and Lipsey Trucking. His elevation to CEO is a permanent one, he said. Jones will remain as president and chief operations officer of Lipsey Logistics.

John White, former president of U.S. Xpress, will step in as president of Lipsey Transport, replacing Jones who served in those roles.

"I have known John for a long time and am excited about having him on our team. He brings extensive knowledge and experience in the trucking and transportation space, having served in a variety of senior operational and marketing roles at U.S. Xpress over the course of a number of years," Jones said.

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