Chapter 11 Filings on Long Island

Long Island Country Club Files for Bankruptcy — The Woodcrest Club

Posted on Friday (December 18, 2009) at 1:00 am to Chapter 11 Filings on Long Island
Current Events
Long Island Economy

Written by Craig D. Robins, Esq.

The economy is affecting country clubs, too. After last year’s Wall Street meltdown, country clubs have been hard hit.

Long Island country clubs have been dealt an especially hard blow as many of Bernie Madoff’s investors reside here, and after they have lost big bucks, they no longer have the necessary funds to pay for luxuries like five-figure country club membership fees.

The Woodcrest Club, Inc., located in Syosset, New York, filed for Chapter 11 relief on December 10, 2009 in the United States Bankruptcy Court for the Eastern District of New York, in Central Islip.

The club’s membership dropped down to just 125 members, from about 300 this past summer. The Club, which is on 107 prime acres on Long Island’s North Shore, has more than $1 million in unpaid vendor bills and employee wages.

The club also incurred large debt from a recent multi-million renovation of its facilities. To compound the club’s problems, its mortgage contains covenants that are cost prohibitive to incurring subordinated debt or re-financing outside of bankruptcy.

Club Member is a White Knight in this Chapter 11 Bankruptcy

One of the members came through as a white knight to try to rescue the club. John Bennardo, a general contractor and resident of Cold Spring Harbor, who’s been a member since 2002, agreed to lend the club, as a debtor-in-possession, about $2 million. In doing so, he would also become the Woodcrest Club’s general manager and run it for at least five years. Bennardo is the owner of Manhattan-based Legacy builders.

The case is pending under Case No. 09-79481 before Judge Dorothy T. Eisenberg. The debtor’s attorney is Gerard R. Luckman of the SilvermanAcampora LLP firm in Jericho, New York. This is the firm of Long Island Chapter 7 trustee Kenneth Silverman.

Technically, the debtor is a non-profit, member-owned corporation. The debtor currently employs twenty-seven employees and has five officers.

The Debtor holds title to approximately 107 very desirable acres of real property in the exclusive Village of Muttontown, with a current approximate value of $18,000,000.

The Debtor’s Liabilities Include Taxes Owed to Uncle Sam From a Hole-in-One Contest

The Debtor’s liabilities total approximately $9,787,000, of which approximately $57,341 is for priority unsecured vacation pay, and approximately $12,900 of withholding taxes owed to the Internal Revenue Service from a hole-in-one contest winner — perhaps the most unusual debt I’ve come across in a bankruptcy proceeding in quite some time.

There is approximately $6,624,000 owed to secured creditors. The balance is owed to general trade creditors, arrears on equipment leases, and members that have already paid toward 2010 dues.

At the time of filing, there were four pending actions against the debtor, with the following parties as plaintiffs: (i) Wheatley Bakery 2 Inc.; (ii) Sigis Pastry Shop; (iii) Encore Events; and (iv) Big Z. Beverage.

The Meeting of Creditors is being held on January 5, 2010 in Room 561 at the Central Islip Bankruptcy Court. Hearings on post-petition financing and first-day orders occurred earlier this week. An order authorizing the payment of pre-petition employee wages was signed today. A status conference before Judge Eisenberg is scheduled for January 14, 2009 in Courtroom 760.

Ramp Chevrolet / Hummer Files for Chapter 11 Bankruptcy

Posted on Friday (October 23, 2009) at 1:00 am to Chapter 11 Filings on Long Island

Written by Craig D. Robins, Esq.

Port Jefferson Automobile Dealership Seeks Chapter 11 Bankruptcy Protection

Ramp Chevrolet, Inc., a Long Island Chevrolet and Hummer automobile dealer that was established in 1944, filed for Chapter 11 bankruptcy relief on October 5, 2009 in the Central Islip Bankruptcy Court under case number 8-09-77513. Judge Robert E. Grossman was assigned to the case as bankruptcy judge.

The dealership, which is located at 1395 Route 112 in Port Jefferson, is being represented by Eric J. Snyder, Esq. of the New York City bankruptcy law firm of Siller Wilk, LLP.

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The Chapter 11 debtor’s president is Charles Rampone, Jr.

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The debtor owes GMAC $587,201 and also owes the New York State Department of Taxation $2,082,386 in secured debt and $425,993 in priority debt. The petition also listed 144 unsecured creditors, although there were no amounts listed for each of these creditors in the initial schedules that the debtor filed.

It was unclear what necessitated the Chapter 11 bankruptcy fililng because the debtor neglected to file all of its schedules and statements as required by the local bankruptcy rules. However, as I’ve written in the past, as General Motors revamps itself under its own bankruptcy protection, effects are reverbarating around the country. GM said over the summer that it was going to cut about 1,100 dealerships immediately and another 2,600 over the next 18 months. See Chrysler Bankruptcy Will Lead to Many Long Island Personal Bankruptcy Filings and Why Did Chrysler and GM File for Bankruptcy in New York?

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Just a few weeks ago, another Long Island car dealer sought Chapter 11 bankruptcy relief: Mazda Automobiles of Great Neck Files for Chapter 11 Bankruptcy Protection .

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The debtor has already negotiated a cash collateral stipulationwith the secured creditor, which was approved by the bankruptcy court, and has also received bankruptcy court permission to pay pre-petition wages.

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The debtor filed a bare-bones bankruptcy petition and was required to file all remaining bankruptcy schedules by October 20, 2009, but failed to do so on time.

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The debtor brought an order to show cause to use cash collateral and pay pre-petition wages, and an interim order authorizing cash collateral was granted.

The Meeting of creditors will be held on November 6, 2009 at the United States Bankruptcy Court for the Eastern District of New York in Central Islip (Room 563 at 11:00 a.m.). A Status conference has been scheduled before Judge Grossman for November 9, 2009 at 1:30 p.m. in Courtroom 860.

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This post is one of a series of posts available on the Long Island Bankruptcy Blog detailing every Chapter 11 bankruptcy case filed in the Central Islip Bankruptcy Court since August 1, 2009. I will typically post a summary of each Chapter 11 case several days or weeks after it is filed as not all info is available immediately upon filing. To see a list of Chapter 11 cases profiled on this blog, click Chapter 11 Filings on Long Island or type the name of the debtor in the upper right search box.

EPets, Inc. Files for Chapter 11 bankruptcy

Posted on Thursday (October 22, 2009) at 2:00 am to Chapter 11 Filings on Long Island

Written by Craig D. Robins, Esq.

New Hyde Park Pet Store Seeks Chapter 11 Bankruptcy Protection

EPets Inc., a large retail pet store, filed for Chapter 11 bankruptcy relief on September 29, 2009 in the Central Islip Bankruptcy Court under case number 8-09-77362. Judge Robert E. Grossman was assigned to the case as bankruptcy judge.

The corporation, which is located in New Hyde Park, is being represented by Long Island bankruptcy attorneys McBreen & Kopko, and its bankruptcy attorney, Kenneth Reynolds, who is located in Jericho, New York. Its president is Timothy Denis. The debtor has 13 employees. The store is located at 1335 Jericho Turnpike in New Hyde Park.

The Debtor’s bankruptcy filing was necessitated by efforts taken be a secured party to. The debtor had previously purchased the assets of another retail pet store, Pets of New Hyde Park, for $1.075,000, and owed this credior approximately $720,000. The creditor is represented by Robert L. Pryor, Esq. of Pryor & Mandelup in Westbury.

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The debtor has already negotiated a cash collateral stipulationwith the secured creditor, which was approved by the bankruptcy court, and has also received bankruptcy court permission to pay pre-petition wages.

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The debtor filed a bare-bones bankruptcy petition and was required to file all remaining bankruptcy schedules by October 14, 2009, but failed to do so.

The Meeting of creditors will be held on October 30, 2009 at the United States Bankruptcy Court for the Eastern District of New York in Central Islip (Room 563 at 11:00 a.m.). A Status conference has been scheduled before Judge Grossman for November 9, 2009 at 1:30 p.m. in Courtroom 860.

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This post is one of a series of posts available on the Long Island Bankruptcy Blog detailing every Chapter 11 bankruptcy case filed in the Central Islip Bankruptcy Court since August 1, 2009. I will typically post a summary of each Chapter 11 case several days or weeks after it is filed as not all info is available immediately upon filing. To see a list of Chapter 11 cases profiled on this blog, click Chapter 11 Filings on Long Island or type the name of the debtor in the upper right search box.

Lightning AB Corp. Files for Chapter 11 Bankruptcy

Posted on Wednesday (October 21, 2009) at 3:30 pm to Chapter 11 Filings on Long Island

Written by Craig D. Robins, Esq.

Bankruptcy of Glen Cove Chinese Restaurant Forces Landlord to Seek Chapter 11 Bankruptcy Protection

Lightning AB Corp., a single asset real estate company, filed for Chapter 11 bankruptcy relief on September 29, 2009 in the Central Islip Bankruptcy Court under case number 8-09-77322. Judge Robert E. Grossman was assigned to the case as bankruptcy judge, replacing Judge Trust because this case is related to another case.

The corporation, which is located in Glen Cove, is being represented by New York City bankruptcy attorney Bruce H. Kaplan. Its president is Nicola Lavista. The debtor’s primary assets consists of a parcel of real estate located at 49 Glen Cove Road, upon which is a two-story restaurant. The debtor estimates the real estate is worth about $850,000. The debtor paid a retainer of $7,500.

There is currently a Chinese restaurant renting the premises, Won Long Won Restaurant, Inc. However, the debtor plans on rejecting the lease of this restaurant and selling the property. This restaurant is, itself, currently in a Chapter 7 bankruptcy proceeding before Judge Grossman.

The Debtor’s bankruptcy filing was necessitated by the fact that the mortgagee was prosecuting a foreclosure sale.

The Meeting of creditors will be held on October 30, 2009 at the United States Bankruptcy Court for the Eastern District of New York in Central Islip (Room 563 at 9:00 a.m.). The debtor recently filed an application to retain a real estate broker. A Status conference has been scheduled before Judge Grossman for November 9, 2009 at 1:30 p.m. in Courtroom 860. A motion to lift the stay is returnable on the same date.

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This post is one of a series of posts available on the Long Island Bankruptcy Blog detailing every Chapter 11 bankruptcy case filed in the Central Islip Bankruptcy Court since August 1, 2009. I will typically post a summary of each Chapter 11 case several days or weeks after it is filed as not all info is available immediately upon filing. To see a list of Chapter 11 cases profiled on this blog, click Chapter 11 Filings on Long Island or type the name of the debtor in the upper right search box.

Alcides Curtis Files Chapter 11 Relief

Posted on Monday (October 12, 2009) at 3:30 pm to Chapter 11 Filings on Long Island

Written by Craig D. Robins, Esq.

Numerous pending foreclosure actions push this debtor into seeking Chapter 11 bankruptcy protection

Alcides Curtis, an individual, filed for Chapter 11 bankruptcy relief on September 17, 2009 in the Central Islip Bankruptcy Court under case number 8-09-76989. Judge Robert E. Grossman is the assigned bankruptcy judge.

According to the debtor’s bankruptcy filings, the bankruptcy was necessary because a number of mortgagees had commenced foreclosure actions on several of the debtor’s properties. The debtor, who lives in Freeport, owns eight properties.

The Meeting of creditors will be held on October 23, 2009 at the United States Bankruptcy Court for the Eastern District of New York in Central Islip (Room 562 at 10:00 a.m.). The first Status Conference before Judge Grossman hasbeen scheduled for November 9, 2009 at 1:30 p.m. in Courtroom 860.

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A Notice of Appearance was filed by Jerold C. Feuerstein, Esq. on behalf of Eastern Savings Bank; by Dennis Jose on behalf of GMAC Mortgage, LLC.; and by Bruce Weiner on behalf of Northeast Community Bank.

This post is one of a series of posts available on the Long Island Bankruptcy Blog detailing every Chapter 11 bankruptcy case filed in the Central Islip Bankruptcy Court since August 1, 2009. I will typically post a summary of each Chapter 11 case several days or weeks after it is filed as not all info is available immediately upon filing. To see a list of Chapter 11 cases profiled on this blog, click Chapter 11 Filings on Long Island or type the name of the debtor in the upper right search box.

Empire Masonry Contracting Corp. Files Chapter 11 Bankruptcy Petition

Posted on Saturday (September 26, 2009) at 8:30 am to Chapter 11 Filings on Long Island

Written by Craig D. Robins, Esq.

Empire Masonry Contracting Corp., of East Setauket, New York, filed for Chapter 11 bankruptcy relief on September 14, 2009 in the Central Islip Bankruptcy Court under case number 8-09-76876. Judge Robert E. Grossman is the assigned bankruptcy judge.

This is a Chapter 11 case that is one of my own cases that I, Long Island Chapter 11 bankruptcy attorney, Craig D. Robins, Esq., filed. The amount of the pre-petition retainer for legal fees and disbursements was $15,039.

The debtor provides commercial masonry services in the New York metropolitan area, has several ongoing jobs, and is solvent and operating profitably. It has gross revenues of several million dollars per year.

According to the Chapter 11 Affidavit filed with the Court, the debtor fell behind with its financial obligations and now requires bankruptcy relief because several large, slow-paying accounts drove the debtor into a position of low liquidity, preventing the debtor from maintaining timely payments to creditors, primarily withholding taxes it owes to the Internal Revenue Service.

In addition, the type of contracting services the debtor provides requires that a portion of each contract be set aside as “retainage” until the completion of construction. Despite the retainage amounts being held back as assurance for the quality of work, the retainage sums recently have taken an extended time to obtain.The debtor anticipates quickly obtaining confirmation of a Chapter 11 plan of reorganization which will enable it to pay all creditors in full.

The Meeting of creditors will be held on October 16, 2009 at the United States Bankruptcy Court for the Eastern District of New York in Central Islip (Room 562 at 10:00 a.m.). The first Status Conference before Judge Grossman has not yet been scheduled.

This post is one of a series of posts available on the Long Island Bankruptcy Blog detailing every Chapter 11 bankruptcy case filed in the Central Islip Bankruptcy Court since August 1, 2009. I will typically post a summary of each Chapter 11 case several days or weeks after it is filed as not all info is available immediately upon filing. To see a list of Chapter 11 cases profiled on this blog, click Chapter 11 Filings on Long Island or type the name of the debtor in the upper right search box.

Pro Se Debtor, Deodath Ramcharan, Files Chapter 11 Petition Without Attorney

Posted on Thursday (September 24, 2009) at 3:00 pm to Chapter 11 Bankruptcy
Chapter 11 Filings on Long Island
Chapter 13 Bankruptcy

Written by Craig D. Robins, Esq.

Debtor goes it alone after Chapter 13 case was dismissed for jurisdictional ineligibility

Deodath Ramcharan, an individual, filed for Chapter 11 bankruptcy relief on September 8, 2009 in the Central Islip Bankruptcy Court under case number 8-09-76724. Judge Alan S. Trust is the assigned bankruptcy judge.

This is the debtor’s second bankruptcy filing this year. He filed the current Chapter 11 petition without any legal representation. The debtor lives in Wyandanch.

The debtor previously filed for Chapter 13 bankruptcy relief while represented by Long Island bankruptcy attorney, Richard F. Arturo, on April 15, 2009. At that time, the debtor owed substantial mortgage arrears on five mortgages covering four separate properties in Wyandanch and Brooklyn.

That case was dismissed on July 6, 2009 after Chapter 13 trustee Marianne DeRosa brought a motion to dismiss, citing the fact that the debtor had too much debt to be eligible for Chapter 13 relief. Apparently, the debtor’s Schedule D, which was filed with the petition, indicated that the debtor’s secured debt was $1,235,000.

In that prior case, since this debtor’s secured debt exceeded the jurisdictional limit of $1,010,650 as set forth in Bankruptcy Code § 109(e), the debtor was not eligible for relief under Chapter 13 and the Court was required to dismiss the case.

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In order to be eligible for Chapter 13 bankruptcy relief, a debtor simply cannot have secured debt greater than $1,010,650, or unsecured debt greater than $336,900. See large debt requires Chapter 11 filing. Arguably, the Chapter 13 petition should not have been filed at all because of the large amount of debt.

The debtor then filed his second case on September 8, 2009, “pro se” without retaining counsel. The petition was handwritten and lacked almost every schedule and exhibit. As of this date, the debtor has neglected to file all of the deficient schedules and exhibits, even though their due date has passed, meaning that the Court has the ability to immediately dismiss the case.

As far as I am aware, there have been exceptionally few pro se Chapter 11 cases in the Long Island Bankruptcy Court and every single one has been dismissed relatively quickly. Although I wish this debtor good luck, the complexities of Chapter 11 bankruptcy practice are extremely challenging even for bankruptcy practitioners, and virtually impossible for lay people.

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To make matters worse, if the debtor was hoping to get the benefit of the automatic bankruptcy stay, that will not happen for much longer. When a debtor files a second bankruptcy case in the same one-year period that a prior bankruptcy case was pending, the stay only lasts 30 days unless a motion is immediately brought to extend the stay. According to the court’s docket, the debtor neglected to timely bring such a motion. See Consumer Bankruptcy Debtors Face New Limitations for Repeat Filings . That means that the mortgagees will likely have the right to continue their foreclosure proceedings in just two weeks.

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Nevertheless, the Meeting of creditors will be held on October 9, 2009 at the United States Bankruptcy Court for the Eastern District of New York in Central Islip (Room 562 at 9:00 a.m.). The first Status Conference before Judge Trust has not yet been scheduled.

This post is one of a series of posts available on the Long Island Bankruptcy Blog detailing every Chapter 11 bankruptcy case filed in the Central Islip Bankruptcy Court since August 1, 2009. I will typically post a summary of each Chapter 11 case several days or weeks after it is filed as not all info is available immediately upon filing. To see a list of Chapter 11 cases profiled on this blog, click Chapter 11 Filings on Long Island or type the name of the debtor in the upper right search box.

Mazda Automobiles of Great Neck Files for Chapter 11 Bankruptcy Protection

Posted on Thursday (September 17, 2009) at 11:00 am to Chapter 11 Filings on Long Island

Written by Craig D. Robins, Esq.

C.D. Autos, Inc., a Mazda car dealer, filed for Chapter 11 bankruptcy relief on August 27, 2009 in the Central Islip Bankruptcy Court under case number 8-09-76424. Judge Alan S. Trust is the assigned bankruptcy judge.

The debtor is a Nassau County car dealer who does business as Mazda Automobiles of Great Neck at a facility located at 240 Northern Blvd., Great Neck, New York.

The company, which is located in Great Neck, is being represented by Nassau County bankruptcy attorney Kenneth A. Reynolds of McBreen & Kopko. No disclosure of Compensation was filed. Most of the schedules, which were required to be filed by September 8, 2009, were not filed in a timely fashion.

The Debtor’s bankruptcy filing was necessitated by the fact that the New York State Department of Taxation had padlocked the Debtor’s car dealership thereby depriving the Debtor of its ability to operate its business, which failure to operate constitutes a breach under Debtor’s Mazda franchise agreement.

The Meeting of creditors will be held on October 2, 2009 at the United States Bankruptcy Court for the Eastern District of New York in Central Islip (Room 563 at 9:00 a.m.). An emergency motion for use of cash collateral was held before Judge Trust on August 28, 2009, and adjourned to September 9, 2009.

This post is one of a series of posts available on the Long Island Bankruptcy Blog detailing every Chapter 11 bankruptcy case filed in the Central Islip Bankruptcy Court since August 1, 2009. I will typically post a summary of each Chapter 11 case several days or weeks after it is filed as not all info is available immediately upon filing. To see a list of Chapter 11 cases profiled on this blog, click Chapter 11 Filings on Long Island or type the name of the debtor in the upper right search box.

Consulting Firm McCoy Consultants, Ltd. Files for Chapter 11 Bankruptcy on Long Island

Posted on Wednesday (September 16, 2009) at 5:15 am to Chapter 11 Filings on Long Island

Written by Craig D. Robins, Esq.

.McCoy Consultants, Ltd. filed for Chapter 11 bankruptcy relief on August 21, 2009 in the Central Islip Bankruptcy Court under case number 8-09-76222. Judge Alan S. Trust is the assigned bankruptcy judge.

The debtor, which is a division of McCoy Companies, Inc., advertises itself as a full service business consulting firm serving religious, non-profit and small business entities. It states that its flagship service is church management and that it has worked with 50 churches across the country.

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The company, which is located in Uniondale, is being represented by Brooklyn bankruptcy attorney Rachel S. Blumenfeld. According to the Disclosure of Compensation Statement filed pursuant to Rule 2016(b), a retainer of $9,500 was paid. Ms. Blumenfeld listed her hourly rate at $350 per hour.

The debtor’s president is William McCoy. The initial filing did not include the Chapter 11 affidavit that contains the details about the debtor.

The petition listed assets consisting of personal property with a value of $709,400 (primarily accounts receivable), priority debts of $35,372, and unsecured debts of $305,431.

The Meeting of creditors will be held on September 25, 2009 at the United States Bankruptcy Court for the Eastern District of New York in Central Islip (Room 562 at 10:00 a.m.), and the first Status Conference before Judge Trust has not yet been scheduled.

This post is one of a series of posts available on the Long Island Bankruptcy Blog detailing every Chapter 11 bankruptcy case filed in the Central Islip Bankruptcy Court since August 1, 2009. I will typically post a summary of each Chapter 11 case several days or weeks after it is filed as not all info is available immediately upon filing. To see a list of Chapter 11 cases profiled on this blog, click Chapter 11 Filings on Long Island or type the name of the debtor in the upper right search box.

Long Island Children’s Clothing Store Bonmer, Inc. Files for Chapter 11 Bankruptcy

Posted on Tuesday (September 15, 2009) at 2:00 am to Chapter 11 Filings on Long Island

Written by Craig D. Robins, Esq.

.Bonmer, Inc. filed for Chapter 11 bankruptcy relief on August 23, 2009 in the Central Islip Bankruptcy Court under case number 8-09-76237. Judge Alan S. Trust is the assigned bankruptcy judge.

The company, which is located in Cedarhurst, is being represented by New York bankruptcy attorney Sean C. Serpe of Pelton Serpe LLP. No disclosure of Compensation was filed. Most of the schedules, which were required to be filed by September 8, 2009, were not filed in a timely fashion.

The debtor’s Chapter 11 affidavit was prepared by Mr. Serpe who stated that “the nature of the Debtor’s business is an affiliate in a children’s clothing store company. The circumstances leading to the Debtor’s filing under chapter 11 was continuing problems with its landlord and leasehold overlord due to landlord’s failure to improve the leasehold and injury caused to the Debtor’s principal arising out of same.”

The sole asset is a commercial lease for the store at 408 Central Avenue in Cedarhurst. The debtor has been managed by Meryl Futersak for over 15 years.

The Meeting of creditors will be held on September 25, 2009 at the United States Bankruptcy Court for the Eastern District of New York in Central Islip (Room 562 at 11:00 a.m.), and the first Status Conference before Judge Trust has not yet been scheduled.

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This post is one of a series of posts available on the Long Island Bankruptcy Blog detailing every Chapter 11 bankruptcy case filed in the Central Islip Bankruptcy Court since August 1, 2009. I will typically post a summary of each Chapter 11 case several days or weeks after it is filed as not all info is available immediately upon filing. To see a list of Chapter 11 cases profiled on this blog, click Chapter 11 Filings on Long Island or type the name of the debtor in the upper right search box.

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Chapter 11 Filings on Long Island

Long Island Country Club Files for Bankruptcy — The Woodcrest Club

Ramp Chevrolet / Hummer Files for Chapter 11 Bankruptcy

EPets, Inc. Files for Chapter 11 bankruptcy

Lightning AB Corp. Files for Chapter 11 Bankruptcy

Alcides Curtis Files Chapter 11 Relief

Empire Masonry Contracting Corp. Files Chapter 11 Bankruptcy Petition

Pro Se Debtor, Deodath Ramcharan, Files Chapter 11 Petition Without Attorney

Mazda Automobiles of Great Neck Files for Chapter 11 Bankruptcy Protection

Consulting Firm McCoy Consultants, Ltd. Files for Chapter 11 Bankruptcy on Long Island

Long Island Children’s Clothing Store Bonmer, Inc. Files for Chapter 11 Bankruptcy

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