Verified Identity Pass Files Chapter 11

Verified Identify Pass, which operated expedited security lines at U.S. airports under the Clear brand, filed Tuesday for Chapter 11 bankruptcy protection. The company ceased operations abruptly in late June when it was unable to honor its obligations on a $32 million loan and unable to negotiate a way to stay in business.

Verified Identity Pass said in its bankruptcy filing that it is looking to sell all of its assets, including its biometric customer data. The company said it needs the consent of each customer to sell that data and asked the court to appoint an ombudsman to oversee the information transfer.