Thursday, February 05, 2009

ABC 13 - Top Stories

ABC 13 - Gated community goes broke: "Accusations are flying about one of the developers of an upscale Woodfin community. Versant is a gated community at the end of Baird Cove Road. The property is now bankrupt and one of the developers is accusing his partner of embezzling millions of dollars.

The town of Woodfin forced the developers to put up a 4-million dollar bond when the project began. Now that Versant is broke, the town administrator is cashing it in. several local companies are now in bankruptcy court trying to collect on unpaid bills, totaling nearly 4 million dollars."

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Good thing the town made the developer put up that bond.

1 comment:

Anonymous said...

Yes!
In Texas developers can be forced to put up bonds to prevent colonias under the anti-colonia laws. Unfortunately, this only extends to border counties and to a lesser extent the counties near counties on the border. Perhaps one of the bigger travesties is that most counties have no protection at all or at best only the roads are bonded out. This leaves the entire subdivision at risk with respect to electricity, water, gas, telephone, cable, wastewater (if applicable), etc. The counties attitude has been "it's a private matter between the residents and the developer" when these failures occur - unless it happens on the border in which case the Attorney General gets involved.