Chapter 11 motion for Badgerow Building developer dismissed - KTIV News 4 Sioux City IA: News, Weather and Sports

Chapter 11 motion for Badgerow Building developer dismissed

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(KTIV) -

A petition to file for Chapter 11 by the developer's of Sioux City's Badgerow Building has been dismissed by a U.S. Bankruptcy Court in California. 

On Thursday, the court and Judge Louise DeCarl Adler dismissed the bankruptcy petition by Mako One Corporation.

The group had filed the petition back in June after defaulting on a $6 million bond agreement for the historic Badgerow Building back in April.

In April, Cedar Rapids Bank and Trust filed for foreclosure on the Badgerow Building.

Judge DeCarl Adler found Mako One had not met deadlines in the Chapter 11 code, along with failing to close certain bank accounts, filing a 90-day cash flow budget, or explain unauthorized use of cash collateral. 

The bank said, Mako One Corporation, its managing partner Bruce DeBolt, and two other limited liability companies, owe more than $4.4 million dollars.

A motion to dismiss the foreclosure case is set for October 19. 
 

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