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Fitzy's Pub's creditors owed nearly $800,000




PLAINVILLE - Creditors of Fitzy's Pub now claim they're owed almost $800,000.

The final total owed by Fitz Company Inc. won't be known until the U.S. Bankruptcy Court's Oct. 14 deadline for filing proof of claims passes, bankruptcy trustee John Aquino said Wednesday.

Some claims of unpaid taxes are based on estimates, Aquino said. He said his job as trustee is to liquidate all of Fitz's assets.

Fitz filed for Chapter 11 bankruptcy in federal Bankruptcy Court in Boston on May 14. The case was converted to Chapter 7 bankruptcy on June 9. The restaurant, at 1 Man Mar Drive, off Route 152, closed last month.

Eleven claims had been filed as of Wednesday night. Most of it - $740,291.52 - is claimed by two sources: $374,856 to the Massachusetts Department of Revenue and $365,436 to the Internal Revenue Service, according to court records.

The two agencies have filed notices of tax liens totaling about $616,000 related to unpaid trust funds dating back to 1997, plus interest and penalties.

Rhode Island restaurateur Jay Chelo and Attleboro business partner Joe Ribeiro have reached a purchase-and-sale agreement to buy Fitzy's for $225,000.

Aquino said creditors have until Aug. 5 to file objections, as well as counteroffers of at least $236,250.

If no objections or counteroffers are received, Judge Henry J. Boroff could approve the sale, Aquino said.

The estate would get $200,000, and $25,000 would go to Fitzy's landlord.

If there are counteroffers, the court would hold an auction for just them on Aug. 19, Aquino said.

Any proceeds from the sale of Fitzy's would become part of Fitz's estate and used to pay creditors, he said.

Aquino said he has not had the chance to review Fitz's records to see if other assets may be liquidated.

 


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