MG Skier
Active member
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Stenger and Quiros Ousted from Management of Jay Peak and Burke
- Thread starter thetrailboss
- Start date
KustyTheKlown
Well-known member
unbelievable, yet totally believable
drjeff
Well-known member
Just posted on Jay Peaks FB page....
"Sorry we took a few extra minutes reaching out folks. As you may have heard, we here at Jay Peak will be working with Leisure Hotels and Resorts (LHR) to continue managing Jay Peak same as it ever was. Current ownership is working with state and federal officials surrounding their ongoing investigation relative to the EB5 Foreign Investment Program. That process is distinct and not connected to the day to day operations of the mountain, indoor waterpark, golf course, lodging or any of our amenities that continue to be available on a daily basis here. Our longtime CMO Steve Wright has recently been named General Manager and he, along with LHR will be responsible for the day to day operations of the resort.We are anticipating our busiest summer on record with music, conferences, almost 70 weddings and a host of other business segments and we look forward to keeping on. It is an awkward time for us on the ground as well and we appreciate you giving us some room to figure all of this out. We will absolutely keep you in the loop as this takes more shape and appreciate your support as we move toward a much more sustainable future. We will be operating for skiing and riding this week and through the weekend with Ski School reopening for Sat. April 16th and have decided to continue operations through next week, weather permitting on both sides of the mountain, through the 24th. We’ll take a look at conditions thereafter and make a call about going for May.
Again, thanks so much- we appreciate your support more than you know."
and in the same thread in a response to who is running day to day operations currently
" The SEC has appointed LHR to run the resort with Steve (Wright). Personal assets of Bill and Ariel are frozen, they are still considered the owners and are working with State and federal officials-they just don't have any day to day management authority."
"Sorry we took a few extra minutes reaching out folks. As you may have heard, we here at Jay Peak will be working with Leisure Hotels and Resorts (LHR) to continue managing Jay Peak same as it ever was. Current ownership is working with state and federal officials surrounding their ongoing investigation relative to the EB5 Foreign Investment Program. That process is distinct and not connected to the day to day operations of the mountain, indoor waterpark, golf course, lodging or any of our amenities that continue to be available on a daily basis here. Our longtime CMO Steve Wright has recently been named General Manager and he, along with LHR will be responsible for the day to day operations of the resort.We are anticipating our busiest summer on record with music, conferences, almost 70 weddings and a host of other business segments and we look forward to keeping on. It is an awkward time for us on the ground as well and we appreciate you giving us some room to figure all of this out. We will absolutely keep you in the loop as this takes more shape and appreciate your support as we move toward a much more sustainable future. We will be operating for skiing and riding this week and through the weekend with Ski School reopening for Sat. April 16th and have decided to continue operations through next week, weather permitting on both sides of the mountain, through the 24th. We’ll take a look at conditions thereafter and make a call about going for May.
Again, thanks so much- we appreciate your support more than you know."
and in the same thread in a response to who is running day to day operations currently
" The SEC has appointed LHR to run the resort with Steve (Wright). Personal assets of Bill and Ariel are frozen, they are still considered the owners and are working with State and federal officials-they just don't have any day to day management authority."
from_the_NEK
Active member
Well at least Jay Peak is in the hands of someone competent.
I'm going to assume Burke is still technically run by Ary Jr until I hear otherwise.
I'm going to assume Burke is still technically run by Ary Jr until I hear otherwise.
Jully
Active member
Nice to see Steve Wright getting the GM spot for the next little bit at least! Always had a lot of respect for him.
Wow that's crazy. I just saw your post on FB about this and was reading the SEC article.
Zermatt
Active member
Any of you paid for 2016/2017 season passes yet?
Might want to hold off on that.
Should be a matter of hours before they declare bankruptcy and anyone who paid for a season pass already becomes on unsecured creditor.
Might want to hold off on that.
Should be a matter of hours before they declare bankruptcy and anyone who paid for a season pass already becomes on unsecured creditor.
BenedictGomez
Well-known member
Ugh... I hate taking the time to open a single legal account, let alone 100 illegal ones.
This story is now on TGR.
Full one hour briefing here:
http://www.wcax.com/story/31725401/...y-peak-q-burke-owners-committed-massive-fraud
http://www.wcax.com/story/31725401/...y-peak-q-burke-owners-committed-massive-fraud
What was the money earmarked for?
VTKilarney
Well-known member
EB-5 projects. The purchase of the ski area itself was NOT an EB-5 project.
Meaning, the hotels etc...?
So they didn't own Jay outright yet? Or they took the investor's cash and paid off loans on Jay?
Then borrowed money to replace the investor cash earmarked for specific projects?
VTKilarney
Well-known member
I read the complaint very quickly, but if I read the complaint correctly, they took money earmarked for EB-5 project(s) (e.g. hotels) and used the money to pay back a loan for the purchase of the ski resort itself.
Wow - shouldn't the investors have seen that way sooner? If a bunch of people pony up 500K, and the company they are investing in suddenly has no cash on hand, and suddenly is (presumably) in debt, wouldn't that be a red flag?
And the bank getting paid off...they don't ask where this cash comes from?
I wonder if they would have got through this if the season wasn't so terrible...
