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The 12 brands in the deal include Fram, Autolite and Trico, according to court documents dated March 25. 

Ex-First Brands CFO Stephen Graham pleaded guilty over a fraud that drove the auto parts supply firm into bankruptcy, and he will testify against company founder Patrick James and his brother Edward.

Three of the four businesses that First Brands is hoping to sell produce parts for Ford, which along with other carmakers have been keeping some First Brands operations afloat by paying for parts in advance.

An ex-First Brands executive told a judge in January that he falsified financial statements, inflated invoices and double-pledged collateral for the auto parts supply firm.

Alabama-based Second Mile Transport will begin with 145 power units. The company has ordered 195 aluminum 53-foot trailers and already has 70 drivers signed up.

The company has so little cash that it has been operating on a week-to-week basis with help from automakers willing to pay in advance to keep vital parts flowing.

Paladin is the latest in a growing list of larger carriers to either shutter operations or declare bankruptcy amid the ongoing freight rate recession, including R&R Family of Cos.

In January, Pittsburgh-based R&R Family of Cos. shut down, according to a source. According to the source and court documents, R&R lost the backing of its largest lender.

Federal prosecutors allege Patrick and Edward James used fake and inflated invoices to persuade lenders to provide billions of dollars in financing to First Brands. Both pleaded not guilty.

Founder Patrick James awaits trial on fraud charges stemming from the multibillion-dollar collapse of his auto parts supply business. He also must deposit $5 million in cash.