Status of Ohio Claims

Travel America does not appear to have lived up to the promises they made in order to get the Ohio bankruptcy plan confirmed. Payments to creditors have not been made or have been late and for less than promised.

The US Trustee, Mr. Hackett and the attorney for the Debtor, Ms. Daneman made an agreement concerning the bankruptcy just hours before the June 22, 2000 hearing that would change the terms of confirmation. They apparently agreed to allow additional time to pay a lesser amount than was stipulated. In the event that Travel America defaulted again - the agreement provided that the Ohio bankruptcy would be "dismissed" - allowing Travel America to keep what they obtained in this bankruptcy and forcing all creditors to do battle for their rights again - only this time as individuals. This would be an extreme hardship for each of the unsecured creditor members and perhaps others.

The attorney for some of the members, Mr. Pettigrew, addressed the court and stated his opinions about the case and the agreement. About 75-80 members were in attendance. They applauded after Mr. Pettigrew's presentation. Look at the transcript of those proceedings by clicking here.

Judge Calhoun noted that no one other than Mr. Hackett and Ms. Daneman knew anything about this last minute agreement. He required that the agreement be put in writing, provided to the bankruptcy clerk and each attorney that attended the hearing. They would then have 10 days to provide him with their input as to the options and obligations of the court. Judge Calhoun would then make a ruling on the status and disposition of the case. Look at the 'DRAFT' order they presented by clicking here.

Mr. Pettigrew has filed an objection to the agreement. He argues that the case should remain under the auspices of the Federal Bankruptcy Court System. His formal objection is also available for your information. Look at his objection by clicking here.

The Check is in the Mail?

Several former Thousand Adventures of Ohio members have received checks from Travel America with no explanation as to what it is for. These checks, typically for less than $100 each, appear to be part of the money these people are entitled to as a result of their claim in the Ohio bankruptcy of Thousand Adventures of Ohio. These checks can not be construed as anything final. We'll have to see what the Judge rules sometime within the next few weeks.