Chattanooga business owner, wife & son accused of giving drugs & alcohol to minors

The Pitkin County Sheriff's Office (PCSO) in Colorado says Joseph Lipsey III (center), his wife Shira Lipsey (left), and their 19-year-old son Joseph Lipsey IV (right) have all been charged with multiple felonies relating to drugs. They're also charged with contributing to the delinquency of minors. (Images: PCSO, MGN)

UPDATE (Monday, March 18):

A Chattanooga businessman accused of providing drugs to teens has stepped down as CEO.

Lipsey Logistics in Brainerd says Joseph Lipsey III will relinquish his management roles, and have no further involvement with the company.

Last week, Lipsey as well as his wife and son were arrested in Aspen Colorado on drug charges.

On Monday, we received the following statement from Lipsey Logistics and Lipsey Trucking:

"Effective immediately, Johnny Jones has been named Chief Executive Officer of Lipsey Logistics and as Chief Executive Officer of Lipsey Trucking. The position is a permanent one. Mr. Jones will also continue in his current roles as President and Chief Operations Officer of Lipsey Logistics.

Joseph Lipsey III, the company’s former Chief Executive Officer, has relinquished his management roles and ownership shares in the company in light of personal allegations against him and members of his family. 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 Mr. Jones.

In the past, Mr. Lipsey was principally an investor in the company and has never been involved in its day-to-day operations. Regardless, we would like to assure the public 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.

Additionally, we are pleased to announce that in October 2019, John White, current President of Lipsey Transport and former President of U.S. Xpress, will step in to backfill the role of President of Lipsey Logistics. Mr. White 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.

Despite recent news media reports about this management change, this message contains the most accurate current information about Lipsey Logistics. We will also be sharing any future important information about the company directly on our website.

We value our customers and sincerely appreciate the trust they place in our company. We are committed as ever to delivering the high-quality services they expect and deserve."

You can read more about the incident below.

PREVIOUSLY (Wednesday, March 13):

A businessman with ties to Chattanooga faces numerous drug charges in Aspen, Colorado, alongside his wife and son.

According to the Better Business Bureau, Joseph Lipsey III is the owner of Lipsey Logistics Worldwide, LLC in Chattanooga.

The Pitkin County Sheriff's Office (PCSO) in Colorado says Joseph Lipsey III, his wife Shira Lipsey, and their 19-year-old son Joseph Lipsey IV have all been charged with multiple felonies relating to drugs. They're also charged with contributing to the delinquency of minors.

A report from the Aspen Dailey News says Joseph Lipsey III provided cocaine and alcohol to minors at parties at his Aspen home. The news outlet reports that a juvenile interviewed by Aspen Police in January 2019 told officers he'd been at one of these parties, and took Snapchat videos and pictures of a plate of white powder. Other individuals told officers of liquor shared with juveniles at these parties, with the adults knowing about it.

According to the PCSO, Shira and Joseph Lipsey IV were arrested on Monday and held on $100,000 bond each. Lipsey III turned himself in Tuesday, and bonded out 40 minutes later.

The three Lipsey family members face the following charges:

Joseph Lipsey III

  • Unlawful distribution, manufacturing, dispensing, or sale of a controlled substance - class 1 drug felony
  • Contributing to the delinquency of a minor - class 4 felony
  • Possession of a controlled substance - level 4 drug felony
  • Unlawful act of serving alcohol to person under age 21 - class 1 misdemeanor
  • Possession of drug paraphernalia - drug petty offense
  • Furnishing cigarettes, tobacco products, or nicotine products to minors - class 2 petty offense

Shira Lipsey

  • Unlawful distribution, manufacturing, dispensing, or sale of a controlled substance - class 1 drug felony
  • 3 counts of contributing to the delinquency of a minor - class 4 felony
  • 3 counts of unlawful act of serving alcohol to person under age 21 - class 1 misdemeanor

Joseph Lipsey IV

  • 2 counts of unlawful distribution, manufacturing, dispensing, or sale of a controlled substance - class 3 drug felony
  • Contributing to the delinquency of a minor - class 4 felony
  • 2 counts of possession of a controlled substance - level 4 drug felony
  • 2 counts of possession of a controlled substance - level 1 drug misdemeanor
  • Possession of drug paraphernalia - drug petty offense
  • Furnishing cigarettes, tobacco products, or nicotine products to minors - class 2 petty offense
  • 3 counts of illegal possession or consumption of ethyl alcohol or marijuana by an underage person

On Sunday, we received the following statement from Lipsey Logistics and Lipsey Trucking:

"Effective immediately, Johnny Jones has been appointed as Chief Executive Officer of Lipsey Logistics and as Chief Executive Officer of Lipsey Trucking. Mr. Jones will continue in his current roles as President and Chief Operations Officer of Lipsey Logistics.

In October 2019, John White, current President of Lipsey Transport and former President of U.S. Xpress, will replace Mr. Jones as President of Lipsey Logistics.

In light of recent allegations about him and his family, Joseph Lipsey will relinquish his management roles and will have no further involvement with the company and its operations. While these allegations relate to a personal matter, Lipsey Logistics and Lipsey Trucking want to assure the public that they will have no impact on business operations. Our customers remain our top priority and we are committed to delivering the high-quality service they expect and deserve."

This is a developing story - depend on us to update it as we learn more.

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