Suburban Hockey Club Files for Bankruptcy
A hockey club in West Dundee filed for Chapter 11 bankruptcy protection to avoid paying a $25M judgment against it in a foreclosure lawsuit. Leafs Hockey Club borrowed the money to build its 105k SF home rink, Leafs Ice Centre, at 801 Wesemann Dr with bonds issued by the Illinois Finance Authority. The club guaranteed the bonds but, when it couldn't pay back the money, was hit with a foreclosure lawsuit by UMB Group in 2013. A federal judge ruled in favor of UMB and the Leafs were on the hook for $24.8M, according to Crain's. The two sides attempted to negotiate a collection plan before UMB broke off talks and decided to pursue the judgment. The Leafs filed for bankruptcy protection July 7. Attorney David Welch still expressed confidence the club could could reach an agreement to pay the debt. [Crain's]
