Expenses could force Jay Peak to close, receiver says

A federal receiver appointed to oversee the Jay Peak and Q Burke ski resorts amid allegations of massive fraud said Jay Peak could close and Q Burke may not open if additional funding is not obtained.

Receiver Michael Goldberg said if more money is not obtained, he could be forced to shut down operations at Jay and eliminate any possibility of Q Burke opening, according to court paperwork filed in Miami.

"Moreover, as of the date of this filing, there may be no investor funds available to satisfy the outstanding contract lien, obtain a Certificate of Occupancy and open the finished hotel that is a part of the Q Burke Entities. Nor are there funds available to cover the day-to-day operating expenses of the property," court papers said.

"Because the facility is located in Northern Vermont, where weather conditions are often unfavorable, any shutdown of the systems necessary to maintain the property can impair long-term use of the property. It is vital to the preservation and beneficial long-term use of the property that the receivership be expanded so that the Receiver can administer the Q Burke Entities."

Jay Peak owner Ariel Quiros and President Bill Stenger are accused in what the Securities and Exchange Commission calls a "massive eight-year fraud scheme" involving developments in northern Vermont.

http://www.wptz.com/news/expenses-could-force-jay-peak-to-close-receiver-says/39208846

Mentions

• Vermont EB5 Regional Center
• Jay Peak - Q Burke Mountain Resort, Hotel and Conference Center L.P.
• UNITED STATES SECURITIES AND EXCHANGE COMMISSION
• Ariel Quiros
• Bill Stenger

Litigation Cases

• State of Vermont vs Bill Stenger & Ariel Quiros
• UNITED STATES SECURITIES AND EXCHANGE COMMISSION vs Ariel Quiros & Bill Stenger

States

• Vermont