Former Billionaire From Medina Appears In Court In Bid To Get Out Of Jail

HELENA, Mont. (AP)– The one-time billionaire creator of Montanas ultra-exclusive Yellowstone Club made his first public appearance in court Monday after six months in jail, however it will take at least another month for the judge who locked him up to choose whether hes made his release.

Tim Blixseth and his lawyers set out to prove that they have totally represented $13.8 million he received from the sale of a Mexican resort. Blixseth, of Medina, Washington, was purchased not to sell any possessions throughout the Yellowstone Club bankruptcy proceedings, in which creditors state Blixseth owes more than $250 million.

Former American CEO Horton Joins Personal Equity Company

Previous American Airlines primarypresident Tom Horton has landed at a private equity firm.Horton, who stepped down from the airline company’s top area when the business merged with US Airways in December 2013, will join Warburg Pincus as a senior consultant in the firm’s industrials and business services group. The company stated Horton will recognize and examine investment chances in aerospace and other industrial sectors.”Warburg Pincus focus on building enduring franchises and deep domain knowledge in the air travel sector lines up with my operation approach and background,”Horton said in a statement.”I anticipate working with brand-new colleagues to identify and evaluate investment opportunities and support the companies management teams.”He is likewise currently on the board of directors for Walmart and Qualcomm.Horton became primarypresident of American the day the

Fort Worth-based airline fileddeclared bankruptcy. He led the company through the bankruptcy proceedings and its merger with US Airways. After the merger, Horton remainedremained on as non-executive chairman until July 2014.

Hess Looks For To Keep VI From Gathering Damages HOVENSA’s Parent Company Asks …

ST. CROIX – Hess Corporation is attempting to get the lawsuit the VI government filed against the company – a lawsuit seeking more than $1.5 billion in damages – moved into United States Bankruptcy Court.The Fortune 500

Company moved the claim from VI Superior Court to United States District Court on Friday.Hess then instantly asked a federal judge to refer the case to Bankruptcy Court, where Hess competes the federal governments claim belongs.In the claim, the VI federal government declares Hess breached the law and its contracts with the government over the course of years and illegally shut down the HOVENSA refinery.In saying to have actually the case transferred to bankruptcy court, Hess contends that the federal governments suit is associated with HOVENSAs bankruptcy; that HOVENSA has the greatest exposure in the suit; which the case might affect HOVENSAs estate. HOVENSA is presently in the middle of Chapter 11 bankruptcy proceedings.A judge has actually not yet ruled on the matter.HOVENSA is a joint endeavor between Hess Oil Virgin Islands Corp., a wholly had

subsidiary of Hess Corporation, and PDVSA VI

, a completely had subsidiary of the national oil business of Venezuela, Petroleos de Venezuela.The VI federal government took legal action against Hess-and not HOVENSA – in the case it submitted in VI Superior Court in September, declaring civil violations of the Criminally Influenced

and Corrupt Organizations Act, in addition to deliberate interference with existing legal relations and counts that allege deceitful inducement and deceptive non-disclosure, deceit and concealment.Among the claims allegations is that Hess controlled HOVENSA-and that Hess siphoned off more than$1 billion in HOVENSA possessions and burdened HOVENSA with unsustainable operating expensesoperating costs. The government asserts that Hess broke

the law when it shuttered the HOVENSA oil refinery almost a decade prior to its legal obligations to the federal government were complete.On Monday, lawyers said the VI Government plans to submit a movement asking a judge to send out the case right back to VI Superior Court.Obviously, we believe we are handling infractions of regional law, and wed want to have the case keep in the Superior Court of the Virgin

Islands, acting VI LawyerChief law officer Claude Walker said.Hess puts forward numerous arguments in its filings, including that HOVENSA has higher direct exposure in the suit, although Hess is the called defendant.Hess notes that HOVENSA in its Limited Liability Corporation operating arrangement indemnifies Hess from any damages that might arise from the business operation- in other words, HOVENSA takes on the responsibility to pay the damages.Therefore, Hess argues, the outcome of the case could have an instant effecteffect on HOVENSAs bankruptcy estate and must be referred to the bankruptcy division.However, the indemnification stipulation in the HOVENSA LLC operating contract does not apply to damages that stem from actions or omissions that make up bad faith, fraud, deliberate violation of law or intentional misbehavior or a material breach- which is exactly what the VI federal government is alleging in the lawsuit.Hess likewise contends that even if the case is not described the bankruptcy department, it still should remain in US District Court rather than Superior

Court. Hess points out these 2 factors:-The 1965 Concession Contract between Hess and the territory-which the Legislature made into law when it validated the agreement-provided the US District Court jurisdiction over litigation including disputes developing out of the contract. That arrangement has actually been extended in later agreements.-The United States District Court kept jurisdiction to presidecommand conflicts including the 2011 authorization decree between HOVENSA, the US Environmental Security AgencyEpa and the VI government.In its claim, the VI federal government challenges the approval decree, competing that Hess worked out the permission decree for HOVENSA, causing HOVENSA to agreeaccept difficult terms for Hess benefit. The fit alleges that the approval decree -with its$700 million in agreed-upon improvements-cleared the way for Hess to convert the refinery to an oil storage facility.The suit also argues that Hess and HOVIC had no intent of making the$700 million in enhancements, due to the fact that Hess intended to shut down the refinery and compel its conversion into an oil storage terminal.Hess competes the federal governments claim challenges the fundamental legality of the approval decree, which it states is precisely the type of dispute over which the District Court must preside.The VI government will respond and intends to keep the case in VI Superior Court, Walker said.We believe our case is really strong and they are making a number of fanciful and unique arguments to combat this, which is to be anticipated, Walker said. But in the end we will prevail.

-Contact Pleasure Blackburn at 714-9145 or email jblackburn@dailynews.vi.

Organic Avenue LLC Chapter 7 Bankruptcy Petition Filed

According to documents submitted with the United States Bankruptcy Court, privately-held Organic Avenue LLC filedapplied for Chapter 7 defense in the Southern District of New york city. The Company, established in 2000, is a natural, plant-based grab amp; go seller, providing fresh breakfast, lunch and light dinner entrees and cold-pressed juices. It serves consumers through ten stores in New York, in addition to its site. The Business’s shops are created to make it possible for healthy living where customers can connect with Health Concierges, who supply dietary and way of life details and participatetake part in interactive neighborhood events.

Court-filed files recognize the Company as being wholly-owned by OAM Supervisor. The Chapter 7 petition suggests overall assets of $3.4 million, all in individual home, and $2.5 million in total liabilities in the kindthrough unsecured non-priority claims. The list of lenders holding the largest unsecured non-priority claims consists of Cigna HeathCare: $204,523, Four Seasons Produce: $177,906 and Hub International Northeast: $160,486. Organic Avenue will be represented by Samuel Jason Teele of Lowenstein Sandler and closing its shops throughout the bankruptcy procedures.

ReadFind out more business bankruptcy updates.

Loan Deal Expenses Individual Retirement Account Its Bankruptcy Exemption

A recent case illustrates a typical problem with IRAs when their individuals proclaim bankruptcy.

Normally, Individual retirement accounts are exempt assets in bankruptcy procedures, and are thus beyond the reach of the bankrupt people lenders. This exemption in the Bankruptcy Code is tied to the tax-exempt status of the Individual Retirement Account. 11 USC sect; 522(d)(12) supplies an exemption to [r] etirement funds to the level that those funds remain in a fund or account that is exempt from tax under section … 408 … of the Internal Profits Code of 1986.

Code sect; 497(c)(1) restricts loan deals in between an Individual Retirement Account and a disqualified person. If an IRA takes part in a prohibited deal with the beneficiary or creator of the account, the IRA will lose its exempt status pursuant to Code sect; 408(e)(2).

While the IRS has an interest in policing the prohibited transaction rules, in my experience I have seen these concerns turn up more in bankruptcy procedures than in tax audits and controversies. This is because the bankruptcy trustee is usual on the lookout to void the exempt status of Individual Retirement Account accounts. If the trustee can persuade the bankruptcy court that a forbidden transaction occurred in regard to the Individual Retirement Account like a loan deal, they then suggest that the Individual Retirement Account is not exempt under Code sect; 408(e)(2) and therefore there is no bankruptcy exemption. I have seen this in regard to straight loan deals, as well as in scenarios when the individual receives a distribution from an Individual Retirement Account and rolls it back into the very same Individual Retirement Account within the tax-free 60 day rollover duration the trustee suggests that this is in fact a loan, despite the fact that such a rollover deal back to the same IRA is expressly authorized in the Code.

In the case at issue, the IRA was a financier in a partnership. As what typically happens in these cases, the celebrations fight it out in bankruptcy court about whether a deal was a loan. In the immediate case, the collaboration itself went through bankruptcy, in addition to the IRA individual. In the filings of the partnership, it submitted schedules revealing the Individual Retirement Account as an unsecured lender the bankruptcy court relied on those schedules to discover that the Individual Retirement Account had actually made a loan to the collaboration and therefore the IRA lost its exempt status.

Kellerman v. Rice,116 AFTR 2d 2015-6133 (DC AR)

Weymouth Native Working To Revive Friendly’s

WORCESTER John M. Maguires buddies and family questioned his sanity when he told them he was leaving his post as chief running officer of Panera Bread.They all said, lsquo; What,

are you nuts? You got ta repair Friendlys! the primary executive officer of Friendlys Ice Cream recalled.Ensconced because function in 2012 following Friendlys bankruptcy fiasco, Maguire has actually committed to bringing the nationwide chain back to its rightful place as one of the iconic brands in America.The Weymouth native, 50, holds a bachelors degree in bakery science and management from Kansas State University, and a masters degree in sophisticated management from the Harvard Business School. Besides Panera, he formerly held positions with Au Bon Discomfort, Bread and Circus/Whole Foods Grocery stores, and the Continental Baking Co. He replaced Harsha Agadi as the Friendlys chief, after his predecessor resigned in the midst of the chaos beleaguering the home-grown dining establishment network.Maguire sees the roadway to resurgence based upon 3 crucial elements: Fantastic individuals, craveable food and a restaurant environment thats clean and energizing.Friendlys tumble from the family-friendly hierarchy came from tryingattempting to

be all things to all individualseveryones, embracing a me-too strategy, he said. As an outcome, its new menu focuses on quality breakfasts, burgers, melts, french fries, sandwiches, seafood, and obviously, ice cream, boasting 21 flavors.Gone are the specialized dinners such as stir-fried chicken and shrimp.During bankruptcy procedures, Friendlys closed about 100 restaurants nationwide.Weve begun to do the heavy lifting, in restoring the chains tradition, Maguire said. That consists of brand-new employee training programs and redesigning work.There are now 270 Friendlys restaurants in 14 states from Maine to Florida. There are 63 in Massachusetts, consisting of

five on the South Coast 2 of them in his hometown. Friendlys offers its ice cream in 8,000 grocery shops nationwide. With its broad franchise base, the business has system-wide sales of more than$550 million. New dining establishment areas are being developed

in Central Massachusetts, the Greater Boston location including one at Logan Airport and in New Jersey.Weve stabilized the brand now, and were starting to grow, Maguire said.Employee motivation is a trademark of Maguires renewal strategy. Asked how he integrates that viewpoint with the growing disparity in between workers and executives pay, Mr. Maguire kept in mind that his first task in the company was that of a dishwasher. Over time, he added the titles of assistant and district supervisor to his resume.Im in favor of people earning a living wage.

I do not understand how a single mommy with two children can make it on$ 9 or$10 per hour

.

50 Cent Shows His Money Online In Response To Bankruptcy Jibes

Rapper 50 Cent has actually just recently been the butt of many a joke by fellow artist Rick Ross given that filling bankruptcy procedures in July. (Source: Instagram).

Rap artist 50 Cent has actually required to Instagram to strikecounter at those who have been making enjoyable of his recent cash issues.

The rap artist has just recently been the butt of many a joke by fellow artist Rick Ross because filling bankruptcy procedures in July, nevertheless 3 months on 50 doesn’t seem too strapped for cash anymore.

The 40-year-old rapper, whose real name is Curtis James Jackson III, posted a video of himself asleep then getting up exclaiming I cant see my legs, as the camera panned down to show his lower half covered in cash.