The Fresno Bee reports that creditors want to force Harry Pappas into Chapter 7 personal bankruptcy to protect their assets.
13 stations owned by various Pappas Telecasting companies are involved in a Chapter 11 filing to allow the sale of the stations under court protection.
The Bee reports: "Filed Monday in the U.S. Bankruptcy Court for the District of Delaware under Chapter 7 of the Bankruptcy Code, the action could lead a judge to order the sale of personal property to pay off debt. "
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Lenders Fortress Credit Opportunities, Ableco Finance LLC and Silver Oak Capital LLC, saying Pappas personally owes them $15 million, are asking in their Chapter 7 filing for an interim trustee to protect their interests while the matter can be sorted out.
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In their Chapter 7 filing, creditors say Pappas and his wife, Stella, personally guaranteed $30 million of a $284 million loan that Pappas Telecasting secured in March 2006.
Creditors said the $284 million loan was based on an agreement that Pappas would sell enough of his television stations to repay $100 million of the debt. The rest would be paid on what the filing calls "a reasonable schedule."
See full story here:
http://www.fresnobee.com/263/story/601856.html
See previous posts about the Chapter 11 filing/story links on the National TV board:
http://www.radio-info.com/smf/index.php/topic,99461.0.html
There's also an active discussion in the San Francisco radio board:
http://www.radio-info.com/smf/index.php/topic,99424.0.html
13 stations owned by various Pappas Telecasting companies are involved in a Chapter 11 filing to allow the sale of the stations under court protection.
The Bee reports: "Filed Monday in the U.S. Bankruptcy Court for the District of Delaware under Chapter 7 of the Bankruptcy Code, the action could lead a judge to order the sale of personal property to pay off debt. "
<snip>
Lenders Fortress Credit Opportunities, Ableco Finance LLC and Silver Oak Capital LLC, saying Pappas personally owes them $15 million, are asking in their Chapter 7 filing for an interim trustee to protect their interests while the matter can be sorted out.
<snip>
In their Chapter 7 filing, creditors say Pappas and his wife, Stella, personally guaranteed $30 million of a $284 million loan that Pappas Telecasting secured in March 2006.
Creditors said the $284 million loan was based on an agreement that Pappas would sell enough of his television stations to repay $100 million of the debt. The rest would be paid on what the filing calls "a reasonable schedule."
See full story here:
http://www.fresnobee.com/263/story/601856.html
See previous posts about the Chapter 11 filing/story links on the National TV board:
http://www.radio-info.com/smf/index.php/topic,99461.0.html
There's also an active discussion in the San Francisco radio board:
http://www.radio-info.com/smf/index.php/topic,99424.0.html