CHARLOTTE (QUEEN CITY NEWS) — A federal appeals court upheld the bankruptcy court's order for the former owner and President of Charlotte-based BK Racing, LLC, and its associates to pay a $31 million fine, court records show. The appeals court affirmed the bankruptcy court's decision on Friday to issue the fine, alleging Ronald Devine and other appellants failed to comply with multiple warnings and orders from the bankruptcy court. The document alleges that the Devines attempted to obstruct and delay the bankruptcy proceedings and refused to provide information when ordered to do so. BK Racing, LLC owned and operated a NASCAR race team from 2012 to 2018. Appellant Ronald Devine and his wife Brenda Devine were indirect majority owners in the company. On February 15, 2018, BK Racing filed an emergency petition for relief under Chapter 11 of the US Bankruptcy Code. Despite this, the group failed to file the required bankruptcy schedules, meaning millions of dollars of pre-petition transfers to the appellants were concealed from the court and from creditors. Former NASCAR champion Martin Truex Jr. 's father dies at 66 An email from Ronald Devine revealed that the Devines did not want to disclose the transfers because they did not want to provide 'the enemies any more ammo.' The 'enemies' were referring to BK Racing's creditors. The appellees alleged the Devines used BK Racing and the Devine Affiliates as 'alter egos' to fraudulently siphon off approximately $6.4 million from BK Racing. They also allege that the Devines caused almost $12 million worth of debt for Devine and his other companies to accrue. In May 2021, the appellee discovered another trust that the Devines formed in August 2018 and used to pay their personal expenses. Although the court ordered the Devines to disclose the trust's existence, the Devines failed to respond by the deadline multiple times. NASCAR issues rule changes regarding waivers, damaged vehicles, and an open spot for elite drivers Citing the appellants' numerous failures to produce requested documents and comply with the court, on December 19, 2022, the court ordered the appellants' answers and defenses to be removed and entered a default judgment, authorizing the appellee to receive over $31 million in damages. Additionally, in October 2023, a Charlotte grand jury indicted Ronald Devin on four counts of failure to pay payroll taxes. The indictment stated that starting in 2012, Devine caused BK Racing to fail to account for and pay hundreds of thousands of dollars in payroll taxes. The indictment further alleged that, between 2012 and 2017, instead of using the funds held in trust to pay for payroll taxes due, Devine reportedly transferred more than $2 million to other businesses and entities that he owned and controlled and used some of the funds to pay for BK Racing’s expenses, such as rent, utilities, and vendor bills.