ColorArt Customer Alleges Millions in Postal Funds Disappeared, Files Suit Against JAL Equity & Eran Salu

Following a voluntary bankruptcy filing by ColorArt – and its subsidiary Las Vegas Color Graphics – and then a subsequent emergency receivership appointment, one of ColorArt’s former customers has now filed a lawsuit against JAL Equity Corp. and Eran Salu, as an individual.

Centene Corporation v. JAL Equity Corporation and Eran Salu was filed late in December 2025 through the Supreme Court of New York County of New York. Centene Corp. — a healthcare enterprise listed as the top creditor on the ColorArt bankruptcy filing, owed $4,041,233 — alleges that it has attempted to “recover millions of dollars that, through a contractual relationship for printing services, were entrusted to ColorArt, LLC and held in escrow accounts for Centene’s benefit. Without explanation, these funds have now disappeared.”

The court document alleges that the aforementioned $4,041,233 is in dispute, and that Centene experienced a loss of $5,064,268.33 in postage deposits. The document also alleges that Centene is owed an additional $522,760.05 in “losses associated with postage, mailers, and other print inventory that are now unusable” and $360,000 in additional costs for temporary staffing and emergency backfill projects, which were necessary “to ensure continuity of service, compliance with regulatory obligations, and the uninterrupted delivery of member communications after ColorArt/Marketing.com’s abrupt failure to perform and refusal to return Centene’s funds.”

Read this full article on Printing Impressions, a publication of PRINTING United Alliance, ASI’s strategic partner.

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