From Travel Pulse:
Host agency Joystar, now in Chapter 11 bankruptcy proceedings in U.S. Bankruptcy Court in the Southern District of Florida, has filed court documents that say it has assets of just $17,978 in personal property and liabilities of about $2.6 million -- $979,000 due creditors holding unsecured priority claims and another $1.66 million from creditors holding unsecured, non-priority claims. Joystar owes the Internal Revenue Service $712,000 and the state of California another $156,000 in taxes. InterContinental Hotels is listed as an entity that has filed a suit against Joystar, claiming that it owes it $163,000. Other creditors include the company’s CEO, William Alverson, and his wife, Katherine West, who are owed $63,000 and $23,000, respectively, in salaries; another employee is owed $23,000. Another creditor is Drew Axelrod, who has claimed that Joystar owes him $35,000 -- a claim disputed by Joystar.Axelrod is now a member of a committee of creditors holding unsecured claims against Joystar. Axelrod spearheaded the efforts of Joystar agents seeking to collect what they say are unpaid commissions that in some cases amount to tens of thousands of dollars by filing an involuntary Chapter 7 bankruptcy claim against Joystar late last year. That claim has been converted to a Chapter 11 proceeding and Joystar has since filed for a restraining order against Axelrod, which it says has conducted a smear campaign against Joystar in the press and with a potential buyer, effectively killing a possible sale of Joystar’s assets. It also is suing Axelrod for commissions it says he improperly withheld from Joystar.
Based on the comment posts, people are not buying that there are only $17,978 in assets.
