Resort owners file bankruptcy papers
DAVIS — A court hearing related to Timberline Four Seasons Resort possibly going into a receivership has been delayed as the owners have filed bankruptcy paperwork in federal court.
A representative in the office of Circuit Judge James W. Courrier Jr. told The Inter-Mountain Wednesday that the scheduled May 28 hearing in the receivership case, and all other related hearings, “are on hold” after the bankruptcy filing.
Frederick Herz, Tracy Edmonds Herz and Dr. Frederick Reichle filed for chapter 11 bankruptcy for Timberline Four Seasons Resort Management Company, Long Run Realty, and Herz, Herz & Reichle, on April 30 in federal court in Pennsylvania.
The companies have until May 14 to submit required documents to the court. Court documents also list creditors that have claims against the companies. Chapter 11 bankruptcy is defined as a reorganization of a debtor’s business affairs, debts, and assets. This form of bankruptcy is known for giving the debtors a fresh start, according to a federal court press release.
On April 18, a receivership hearing took place in Tucker County Circuit Court to address the status of Timberline Four Seasons Resort Management, Long Run Realty, Timberline Four Seasons Realty and Herz, Herz & Reichle, Inc. Courrier was prepared to hear arguments about entities connected to Timberline Four Seasons Resort possibly going into a receivership, but the owners of the company did not have an attorney present and the hearing was continued to May 28.
Timberline Four Seasons Utilities, also owned by Fred and Tracy Herz, was placed into receivership following an order in March in circuit court in Tucker County.
Judge Lynn Nelson’s order appointed Canaan Valley Public Service District as the receiver, with the control and responsibility of Timberline Four Seasons Utilities water and sewer utility operations to remain with Canaan Valley Public Service District until further order of the court.
The state Public Service Commission presented evidence against Timberline Four Seasons Utilities in an all-day hearing Dec. 13 at Canaan Valley Resort and Conference Center.
Just a day before the December hearing, Frederick Herz was arrested after allegedly failing to pay taxes and was charged with 12 misdemeanor counts of failure to pay hotel/motel taxes.
Reichle, 83, is facing federal charges for allegedly illegally prescribing opiods to patients who didn’t need the drugs in exchange for cash.
The Warrington, Pennsylvania, resident was one of 14 people named in indictments in February by the U.S. Attorney’s Office. The charges listed in the indictments include conspiracy to dispense and distribute controlled substances outside the course of professional practice and without a legitimate medical purpose; distribution of oxycodone; health care fraud; and maintaining a drug-involved premises.
Reichle is accused of acting as a go-between for Dr. Murray Soss, 78, whose medical license was suspended in 2017, to get prescription drugs so Soss could exchange them for sex. Soss allegedly had Reichle fill out oxycodone prescriptions, and then Soss would exchange the pills for sexual favors from one of his patients, officials say.
Reichle is also accused of being paid off to prescribe drugs for Soss’s other patients.
In addition to the three Chapter 11 filings, Reichle himself filed for Chapter 13, defined as a form of bankruptcy where the individual proposes a repayment plan to invested creditors to be fulfilled in a three-to-five year timeframe, according to a federal court press release.