Judge approves virus-fighting PPP loan at Jay Peak and Burke ski resorts

A federal judge granted the request of the receiver overseeing the ski resorts of Burke Mountain and Jay Peak, whose owner has been charged with fraud, to execute a federal government’s coronavirus relief loan of $ 3.2 million. dollars to help keep stations open and employees on the job.

The stations reopened after being closed for several months due to the pandemic and hopes to prepare for ski season and increase membership by November, Federal Receiver Michael Goldberg told U.S. District Court, according to Caledonian record. The paycheck protection program loan would be funded by the City National Bank.

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Miami businessman Ariel Quiros, who owned Jay Peak and Burke, pleaded not guilty in May 2019 to 12 felony counts, including seven counts of wire fraud and three counts of misrepresenting.

Quiros and three others have been charged with a failed plan to build a biotech plant in Newport using $ 200 million in money from foreign investors. His lawyer said last month that Quiros planned to withdraw his not guilty pleas.

The Federal Securities and Exchange Commission also accused him and his associates in a Ponzi scheme. As part of the SEC settlement, Quiros has divested more than $ 80 million in real estate and other assets, including the two ski resorts. The receiver plans to eventually sell Burke and Jay Peak.

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