Former ITT Educational execs to pay $300,000 to settle SEC lawsuit
The deals with former ITT CEO Kevin Modany and Chief Financial Officer Kevin Fitzpatrick were reached days before trial and include more than financial settlements.
Bankruptcy
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Creditors prepping lawsuit against HHGregg officers and directors
A Delaware law firm is spearheading the case on a contingency-fee basis. Under the sliding scale, it would get 20 percent of a recovery up to $10 million, and 35 percent of a recovery topping $20 million.
Indiana’s director protections complicate ITT lawsuit
A lawsuit filed by ITT Educational Services’ bankruptcy trustee seeks $250 million from the firm’s former CEO and board members, whom she alleges were disengaged as the business melted down.
Stuart Mortuary files for Chapter 11 bankruptcy protection
The 70-year-old business, an institution in the local African-American community, is seeking reorganization after accumulating hundreds of thousands of dollars worth of tax and business debts.
Wind-down of Marsh Supermarkets paints ugly financial picture
Tens of millions of unsecured claims will go unpaid when the Indianapolis-based grocery chain completes its liquidation in bankruptcy court.
Radio giant iHeartMedia files for bankruptcy
The San Antonio-based company is the second major radio player in the Indianapolis market to seek bankruptcy protection in recent months. In November, Atlanta-based Cumulus Media filed for Chapter 11.
Claire’s on verge of bankruptcy, with creditors taking over
Claire’s Stores Inc., the fashion accessories chain where legions of preteens got their ears pierced, is preparing to file for bankruptcy in the coming weeks, according to people with knowledge of the plans.
Toys ‘R’ Us preparing to liquidate U.S. operations, sources say
Toys “R” Us Inc., which has three Indianapolis-area stores, is expected to liquidate its bankrupt U.S. operations after so far failing to find a buyer or reach a debt restructuring deal with lenders, according to people familiar with the matter.
iHeart Media on verge of filing bankruptcy
The San Antonio-based company would be the second major radio station owner in the Indianapolis market to file for Chapter 11 in recent months. Atlanta-based Cumulus Media filed in November.
Carson’s parent ponders bankruptcy as part of restructuring
The comeback strategy for Bon-Ton Stores includes closing a dozen Carson’s stores, although Bon-Ton hasn’t specified locations. The only Carson’s in Indianapolis is the lone anchor for Circle Centre mall.
Downtown microbrewery files for Chapter 11 to avoid eviction
Tow Yard Brewing made the move to reorganize its assets before its current lease ends and the owner of the building seeks another tenant for the space.
Two local stores on Toys ‘R’ Us bankruptcy closure list
The world’s largest toy chain is planning to close about 180 Toys “R” Us and Babies “R” Us stores nationally as part of a reorganization plan to emerge from its September bankruptcy, according to a court filing.
Andretti Autosport sued over sponsorship money from HHGregg
A group representing the unsecured creditors of HHGregg has filed suit against Andretti Autosport in an attempt to claw back nearly $1.5 million in sponsorship money the now-defunct retailer paid the racing team in the months leading up to its bankruptcy.
LDI to lose ownership of motorsports firm that’s filed for bankruptcy
In a deal called “one of the most important” stories in the motorcycle industry this year, a company controlled by Indianapolis-based business-holding firm LDI Ltd. has filed for Chapter 11 bankruptcy after racking up about $440 million in debt.
Toys ‘R’ Us files for Chapter 11 bankruptcy
The company filed Chapter 11 documents late Monday in U.S. Bankruptcy Court in Richmond, Virginia. The chain secured $3 billion in debtor-in-possession financing to stay open while it restructures, according to a company statement.
Bus consultant leads school districts into ditch
At least three Indiana school districts that hired the startup firm True Consultant Service LLC to revamp bus routes ran into major problems when school began this summer, forcing administrators to apologize to parents and reverse course.
Last local Joe’s Crab Shack goes out of business
Parent company Ignite Restaurant Group, which filed for Chapter 11 bankruptcy in June, has closed dozens of restaurants across the country.
National Lampoon sale closes book on era rife with scandal
Philadelphia-based PalmStar Media has bought National Lampoon Inc., a deal that severs the final ties between the company and a contingent of Indianapolis shareholders, including convicted fraudster Tim Durham.
Key HHGregg executives could pocket $675,000 in incentive bonuses
Executives eligible for the additional pay, if certain benchmarks are hit through the company’s bankruptcy, include Kevin J. Kovacs, HHGregg’s chief financial officer and acting CEO.
ITT trustee blasts firm’s former directors, seeks $50M
The trustee charges that Sam Odle and fellow outside directors should have ousted CEO Kevin Modany—a move that likely would have been well-received by the U.S. Department of Education and ITT’s accrediting agency.