The Allerton Hotel, an historic hotel on Michigan Avenue in downtown Chicago, had filed for bankruptcy in May 2011. After battling its largest creditor for days this summer, the hotel has finally reached a settlement with the creditor thereby allowing its bankruptcy plan to be confirmed. Under the terms of the plan, Allerton must put the plan into effect by January 18 or the hotel will be auctioned. As part of the plan, Allerton must pay a $5 million principal payment to its largest … [Read more...]
Gun tax passes as bullet tax fails
November 13, 2012 by
“We want to highlight this issue of gun violence and we also want to add to our resources to address it," Cook County Board President Toni Preckwinkle told reporters on Friday as the Board passed the gun tax by a vote of 9-7. The proposed tax on bullets was withdrawn earlier last week. The tax is to help defray the health costs incurred by the county from gun shot wounds. In addition to the gun tax, the board also approved a $1 per pack cigarette tax also to assist with the costs of public … [Read more...]
Kodak seeks financing to exit bankruptcy
November 13, 2012 by
A new $793 million financing deal may be the ticket out of bankruptcy for Eastman Kodak Co. The deal still must be approved by the bankruptcy court and is contingent upon Kodak receiving a minimum of $500 million for a patent portfolio that it has for sale. The financing will come in the form of new loans and dollar-for-dollar exchanges for existing debts under current notes. Some lien holders have objected to Kodak continuing to have exclusive control of its bankruptcy process. To read … [Read more...]
HOME MODIFICATION AND FORECLOSURE – BANKS PROTECT THEMSELVES BY USING BOTH OF THEIR OPTIONS AT THE SAME TIME!
November 12, 2012 by
A bank can be engaged (as well as they seem to become engaged) in the process of evaluating your home mortgage loan for modification and at the same time go after ownership of your residence through judicial foreclosure. Although Illinois homeowners continue to struggle with their mortgage payments and try to avoid foreclosure, many banks and mortgage companies continue to pursue foreclosures against borrowers seeking loan modifications while the application for modification is still under … [Read more...]
Winfield wants police department but does not want to raise taxes to pay for it
November 12, 2012 by
The village of Winfield has a small local police department that employs 19 people. However, because of the costs the town has considered outsourcing police services. Tuesday voters in Winfield were asked to approve a property tax increase to pay for the local police department. More than a majority of voters said no to the tax hike; however, almost 88% of those same voters stated they wanted to keep the local police department. For more see, “Winfield Winfield voters say 'yes' to police, … [Read more...]
Obama and Congress face “fiscal cliff” by end of year
November 9, 2012 by
Even before the speeches were finished, the president and congress were back on opposite sides of the “fiscal cliff” that is looming at the end of the year. Unless the parties can agree, $600 billion in tax increases and spending cuts will take place on January 1. One key disagreement is keeping tax cuts for individuals and couples that make more than a certain amount. Republicans want tax cuts for all and Obama wants to cut out tax cuts for the wealthy. For more read, “Obama Faces … [Read more...]
Former Chicago man guilty of tax fraud
November 8, 2012 by
A former Chicago resident filed false tax returns over five years to defraud the Internal Revenue Service. By filing 645 false returns, he was able to get approximately $19 million in tax refunds. Andrew J. Watts, a Barbados national, used the social security numbers of deceased individuals to file the false tax returns. After pleading guilty,Watts has been ordered to pay restitution and to serve over nine years in prison. The full story can be found at “He files bogus tax returns for … [Read more...]
Will we ever see real tax reform in this country?
November 7, 2012 by
Steve Chapman of the Chicago Tribune discusses tax reform and the politics behind it in his article “The tax reform mirage – New rage or old dodge?” Whether it is the topic of a think tank or a political debate, everyone seems to believe that it will save the American economy. Everyone agrees that tax reform is necessary but no one agrees on how to reform the tax code. Like the beautiful oasis that promises sustenance, Chapman argues tax reform is just a mirage instead of an oasis. For … [Read more...]
Bankrupt company owes Illinois Department of Revenue millions of dollars
November 6, 2012 by
In court papers filed with the bankruptcy court, Jeffrey Parsons and his company, THR and Associates, are heavily in debt to a list of creditors that is almost 400 pages in length. One of the debts is to the Illinois Department of Revenue for more than $453 million in payroll taxes. At the meeting of creditors held in October, Parsons testified about the debts and assets of the company. He also answered questions about how the company had made so much money only to lose it all and … [Read more...]
Curt Schilling may give up personal items for company’s bankruptcy
November 5, 2012 by
Curt Schilling, former Boston Red Sox pitcher, personally guaranteed a portion of the debt for his company, 38 Studios. 38 Studios filed bankruptcy in June of this year listing over $150 million in debt with a little less than $22 million in assets. As part of the collateral for the business loans, Schilling pledged his personal assets including the bloody sock he wore during the 2004 World Series championship, World War II memorabilia and a hat believed to be worn by Lou Gehrig. To read … [Read more...]
