Ligonier Beach owners wade into bankruptcy process
Creditors seeking money from the recently closed Ligonier Beach have until July 17 to challenge debts listed in a bankruptcy court filing.
Sherry and Steven Kozar of Ligonier, who owned and operated the iconic private pool and restaurant off Route 30 in Ligonier Township, filed a Chapter 7 personal bankruptcy petition in U.S. District Court in Pittsburgh.
According to the court filing, the Kozars listed $278,801 in assets versus $817,235 in liabilities. Sherry Kozar is listed in state corporation bureau documents as the lone officer of Ligonier Valley Beach Inc.
The corporation did not file bankruptcy. However, the largest unsecured debt listed by the couple in their personal bankruptcy petition is a $570,871 mortgage loan from a Massachusetts lender that the couple reported they co-signed on for Ligonier Valley Beach, according to court files.
According to the court docket, the Kozars owe $202,412 on two mortgages on their Deeds Road residence in Ligonier Township, which they value in the petition at $233,720.
While the Kozars list the home among their personal assets, which included a 2017 Chevrolet Traverse valued at $17,155 and furniture in their residence valued at $15,000, they did not list the 10-acre beach property, pool and bar.
A Chapter 7 filing usually results in the sale or liquidation of listed assets to pay off creditors.
Raymond Graham sold the Ligonier Beach property and business in 2008 to his daughter, Sherry Kozar, and her husband. Last month, Graham told the Tribune-Review the pool and restaurant would not open this year after flooding destroyed pumps and a furnace at the property.
Ligonier's Gallo family in 1925 opened the business, originally known as Ligonier Valley Bathing Beach. Ray and Reba Graham bought it in 1998.
Repeated attempts to reach the Kozars have been unsuccessful.
Their attorney, John Bumbaugh of North Huntingdon, did not return a call seeking comment.
Greensburg attorney Robert Slone, who worked as a trustee in many regional bankruptcy cases, was surprised the private swimming facility is not listed as an asset in the petition.
“Each case is different, but if they own 100 percent of the shares in the corporation, I would believe (Ligonier Valley Beach Inc.) would become part of the (bankruptcy) case,” Slone said.
In the April 4 bankruptcy filing, Sherry Kozar reported that she did not anticipate earning any income this year from her job as “manager” at Ligonier Valley Beach. Steve Kozar reported in the court filing that he earns $10,854 a month as a policy advisor with the U.S. Department of Homeland Security.
According to online dockets, Judge Gregory Toddonio has been assigned the case. No hearings are scheduled. A meeting among creditors took place May 18 at the Westmoreland County Courthouse.
Paul Peirce is a Tribune-Review staff writer. Reach him at 724-850-2860, ppeirce@tribweb.com or via Twitter @ppeirce_trib.
