Hilander loses bankruptcy protection
Wednesday, October 15, 2008 12:52 PM PDT
By Erik Olson
Printable version
E-mail this articleA federal bankruptcy judge in Tacoma revoked bankruptcy protection for the Hilander Family Fun Center in Kelso last week, leaving the business vulnerable to shutdown for failure to pay as much as $436,000 in back taxes.
The Hilander had sought Chapter 11 bankruptcy protection in September after the state Department of Revenue filed to revoke a $100,000 bond owner Jim Springer put up in March as a guarantee he would pay delinquent taxes.
The revocation of the bond would have allowed the Department of Revenue to shut down the business as the agency had previously done in April.
“It means that we can continue our collection efforts,” said Mike Gowrylow, a spokesman for the Department of Revenue.
He added that he could not confirm with the Department of Revenue would seek to shut down the Hilander again.
The business was open Tuesday evening.
The state Department of Revenue has filed seven warrants dating for $436,730 in unpaid sales taxes dating back to August of 2005, Gowrylow said. Springer has paid some of that debt, and court documents indicate the agency still is owed around $385,000.
The Hilander also owes the state Employment Security Department about $160,000 and the state Department of Labor & Industries more than $63,000, according to the state attorney general’s office. The IRS is also owed about $640,000, dating back to the first bankruptcy filing.
The Hilander owes $1.75 million in debt to 45 creditors, according to court documents. Notice of the dismissal of bankruptcy protection was sent to 54 creditors, which Springer originally owed more than $5 million when he filed for bankruptcy in 2007.
The Hilander’s former home at 1509 Allen St. was sold by foreclosure earlier this year, which cleared out a big chunk of the debt.
Springer did not return a message seeking comment Tuesday.
In a September interview with The Daily News, Springer said the bankruptcy protection was necessary to keep the Hilander viable as a business because of the “predatory nature” of some creditors and taxing agencies.
Update:
State agents close Kelso's Hilander
Related articles:
Hilander Bowl files for bankruptcy again (Sept. 23)
Building owner wants Hilander out (April 25)
Hilander reopens after owner strikes deal with state (March 5)
justice4all wrote on Oct 15, 2008 12:33 AM:
" Springer, pay your taxes and bills! You have gotten away with this for too long. Citizens that ate or played at The Hilander had to pay. You would never have allowed someone to say "I'll pay you in a few years." Local folks please don't say we need to help this business out. It appears he is not willing to sacrifice to keep his business open. Since 2005 he has always managed to pay his personal bills and take vacations. He is not facing personal bankruptcy! He has been misusing tax dollars. "
classic_mustang_chick wrote on Oct 15, 2008 12:39 AM:
" I'm glad he didn't get the Bankruptcy protection...Mr. Springer made his bed...now let him sleep in it...at least your employees won't have to worry if you're paying your part of their health insurance, or if they're checks are going to cash... "
racingrocks wrote on Oct 15, 2008 6:12 AM:
" Here we go again.Everyone is going to bash the guy who is trying to make things right.His debt is steadily going down which means he is making his payments now.It's always so easy to critcize someone else when you dont know them or their situation.If you have nothing nice to say,shut your trap and leave him the h311 alone "
DMBKI wrote on Oct 15, 2008 6:27 AM:
" He's been collecting tax on every purchase... seems pretty cut and dry to me. Someone pays tax for their purchase, that money goes to the IRS. As for the creditors, let them come remove their stuff from his business to recover some of their costs. "
Silly Billy wrote on Oct 15, 2008 7:26 AM:
" TDN may have been able to save some valuable paper space over the past year to report on something interesting rather than this business owner. Springer.... Hang it up. You tried, it didnt succeed. You got in over your head and you didn't see it coming. (Bad business is what that's called.) --- Now, how 'bout them Seahawks! "
somedude wrote on Oct 15, 2008 7:32 AM:
" Yes, I a agree. It is time for Springer to go quietly into the night. Springer HAS misused our tax money and somone who served office such as he did should know better!! Even after Misusing our tax dollars some of you people didn't understand the impact of what he did and that's the scary part! Oh we have to Help The Highlander...bah wake up people, he misused the money that we use to fund our Schools, maitain our roads and so on! Step up people and do not go to the Highlander the abuses by him should not continue! Maybe Springer should hit up Congress, seems they like to bail out people who don't need it! "
jazzie wrote on Oct 15, 2008 7:34 AM:
" Well Justice4all I could not have said it any better. Mr. Springer, You have made your bed, time to crawl in and sleep with it!!! "
jibjab123 wrote on Oct 15, 2008 7:37 AM:
" I'm under the opinion that if the owner is making a substantial effort to pay the back-taxes, it's in the creditors and departments best interest to let them stay open to continue to pay the taxes. "
abc123 wrote on Oct 15, 2008 8:07 AM:
" His debt only went down as much as it did because of the forced sale of the old building. It's not like he sold off some of his personal assets to help pay that off. He has not made a big effort to pay off what he's behind on - the forced sale did that. I think the only reason the employess did car washes were so they could get paid and think about it, you really think that the employees would say anything negative about their boss? If they get fired, they usually can't get unemployment. "
dudebro wrote on Oct 15, 2008 8:24 AM:
" at the start of october I had my sons first birthday there and the place was packed and our party had a wonderful time.
yeah he screwed himself but still its great place for the kids and isnt that what its all about??? "
yeah he screwed himself but still its great place for the kids and isnt that what its all about??? "
stargoddess wrote on Oct 15, 2008 8:28 AM:
" I worked for a company that recently shut down, that did the same exact thing that Springer has done, and in some aspects, even more. They owe THOUSANDS in taxes to various agencies, as well as hundreds of bills. It's not that they didn't have the money to pay any of these, it's that they CHOSE to not pay what was owed and put it in their pocket instead. Even us employees got the shaft. Bottom line in both cases, the only thing that ruined their businesses, is greed, nothing more. "
onmymind wrote on Oct 15, 2008 8:41 AM:
" The forced sale of the building has paid down parts of the debt owed. I agree that it is a fun place for the children. However, if he can't run a profitable business, then it's time to close. Maybe someone else can step in and run a bowling alley and restaurant. A lot of the stuff like the carousel are a waste of space and resources. "
TK wrote on Oct 15, 2008 8:45 AM:
" Maybe Mitch Kolln should buy the place out and make it Pietro's family fun center. The Highlander doesn't have any tire dust flying in and the parking is better... just a thought. "
somedude wrote on Oct 15, 2008 8:47 AM:
" Dudebro, ya the kids, thats what it's all about! Mr. Springer took the money the kids were spending at his place and
did not pay the taxes on it! Makes me sick! He has taken every advantage he can with this situation! They should close him down and auction off the stuff quick before he liquidates his assets, at least we may get some of that tax money that he misused back! "
did not pay the taxes on it! Makes me sick! He has taken every advantage he can with this situation! They should close him down and auction off the stuff quick before he liquidates his assets, at least we may get some of that tax money that he misused back! "
ltown wrote on Oct 15, 2008 9:45 AM:
" It is a fun place to go I think he needs to sell and let somebodyelse take it over before it turns into another empty building. "
Louie wrote on Oct 15, 2008 9:45 AM:
" If Mr. Springer was complying with the bankruptcy protection plan I doubt it would have been dismissed.
In my opinion he was milking the system for all he could as well as taking money from children's parents to pocket. That arcade is attractive to kids but what a rip off. The prizes given out to the kids were just crap from China...pure junk. His profit margin of those must have been huge.
I say "good riddance to bad rubbish!" Maybe something interesting and worthwhile will open in the space once he vacates. "
In my opinion he was milking the system for all he could as well as taking money from children's parents to pocket. That arcade is attractive to kids but what a rip off. The prizes given out to the kids were just crap from China...pure junk. His profit margin of those must have been huge.
I say "good riddance to bad rubbish!" Maybe something interesting and worthwhile will open in the space once he vacates. "
the Grateful Dad wrote on Oct 15, 2008 9:54 AM:
" TK, your suggestion is not original. Read comments below previous TDN stories concerning this issue. I've been saying all along that The Hilander would be a perfect spot to open a "Pietro's Family Fun Center". You almost copied my entries word for word. I guess that either great minds think exactly alike, or, you just know a good idea when you see one. :) PIETRO'S FAMILY FUN CENTER in the location of the Hilander would be, not only a boost to the Kelso economy, but a great place to take the family for pizza, bowling, laser tag, carousel rides, games, and just good old fashioned family fun! PIETRO'S, BABY! "
Rocko wrote on Oct 15, 2008 9:54 AM:
" Its true that Springer made his bed, and He should pay the piper. What about the 65 people that are also in that bed? I was there in the begining, and was let go after 2 years because I didnt agree with the springers, and had no problem voicing it. All levels of employees have tried to save the Hilander. it is their lively hood. The Hilander is like a pea pod, and the springers are a couple of rotten peas. I personaly Dont care for the Springers, but I Love the Hilander, and my Family and friends that work there. I dont want the Hilander to close, because I support them and their Families. "
MACaroon wrote on Oct 15, 2008 10:10 AM:
" I like TK's idea! Pietro's should move in there and then he can turn the laser tag area into an indoor miniature golf course so it doesn't matter what the weather is. "
The Stig wrote on Oct 15, 2008 10:15 AM:
" The more Ken doesn't pay his taxes and vendors, the more the rest of us has to make it up. If he doesn't pay the Pepsi vendor, the price of Pepsi goes up for all of us. He doesn't pay the pepperoni guy, price of pepperoni goes up. He doesn't pay his taxes, ours go up to cover it. The businesses and government arent going to shrug their shoulders and laugh it off. They will make up for their losses. The fact is, Mr. Springer tried but his business model is clearly a failure. If he tried borrowing money from a bank or any of you with this track record, would you lend him money? Of course not, so why keep doing it? I don't think Mr. Springer is an evil guy our to defraud people and our government. I am sure he thinks he is doing the right thing and providing a service to the community but at some point it is time to say "enough is enough". Let's not continue to throw good money after bad. It was a good run, Ken. Time to cut your losses and minimize the financial impact your decisions are having on this community. We are all tired of hearing about bailouts for people who made poor financial decisions. Please make the right decision this time. "
Pirate Wench wrote on Oct 15, 2008 10:17 AM:
" Thank you Mr. Springer for not paying your taxes or business related bills when you are supposed to, causing your business to be shutdown, leading to an increase in the unemployement rate of Cowlitz County which is already skyhigh. Way to go, good job. I'm sure the families of your employees thank you, too. "
Anderson82 wrote on Oct 15, 2008 10:43 AM:
" I cant believe you people are rootig against The Hilander. Why would community people do so. The Hilander is Kelso's nice business which anchors the Kelso name. It is one of the only forms of entertainment for kids, families, or anyone. Don't tell me different. Just answer yourself this, Have you ever been to The Hilander? If you say yes, you should know that hte business is a fun place. Very pathedic you people are acting this way. Yes Springer owes a lot of money, but support the man. He obviously has some money issues and has for some time. I am behind you Jimmy. "
agro_vader wrote on Oct 15, 2008 10:46 AM:
" Before we take the torch to this "fine" business owner, maybe we can make some suggestions for him to increase his revenue so that he could better pay his taxes. I for one would like to see part of the Highlander turned into a "gentleman's club". "
Bounder wrote on Oct 15, 2008 10:59 AM:
" the Grateful Dad, I'll give you the credit since I did see your post in the Pietro's story. I also think this is a great idea. It's the pizza everyone loves, not that old building. MACaroon, I was thinking about him taking out the carousel to make room as well. A WELL made miniature golf course indoors would be fun for all ages. I would much rather play miniature golf with my kids and someday grandkids than laser tag, or sit sitting on a carousel. Laser tag might be fun to some. But lets face the facts a lot more customers could/would play miniature golf. More customers = more money. "
MACaroon wrote on Oct 15, 2008 11:22 AM:
" Bounder, I almost suggested taking out the carousel as well (to make room for miniature golf). The few times I've been to the Hilander, I've never seen anyone using it. "
KT_32 wrote on Oct 15, 2008 11:28 AM:
" I know A LOT of the employees at the Hilander, past and present. I feel for them and what they have been through and will have to go through. But, Springer blew it. He had bad money management and a horrible business sense. Oh the stories that could be told....
Just be patient, we are a growing community. There will eventually be another place to take your family out to for fun. Or be creative. "
Just be patient, we are a growing community. There will eventually be another place to take your family out to for fun. Or be creative. "
abc123 wrote on Oct 15, 2008 11:32 AM:
" Hey Anderson - yeah I have been there. Was it a super fun place that my kids just beg me to take them to all the time? Nope, actually it's not. I will agree that it is one of a few places that kids can go, but why should we, the community, keep supporting someone who isn't paying his taxes? So from what you're saying, if one of the community was having money problems, you would be there to support them? I can see a line of people lining up at your door as soon as you post your address. "
huh? wrote on Oct 15, 2008 11:38 AM:
" I'm all for the concept agro_vader, unfortunately there are few 'gentlemen' in Cowlitz County, and WA laws make these clubs pathetic in comparison to the one's in PDX. "
AmericanGirl wrote on Oct 15, 2008 11:47 AM:
" agro-vader- OH Please What gentlemen???
How about just a fun place that the whole family can enjoy. "
How about just a fun place that the whole family can enjoy. "
CMBurns wrote on Oct 15, 2008 11:59 AM:
" Also before i forget, how does the supposed number 1 bowling alley in town become shutdown? That question is for all the supporters "
RealityCheck wrote on Oct 15, 2008 12:13 PM:
" "Springer said the bankruptcy protection was necessary to keep the Hilander viable as a business because of the predatory nature of some creditors and taxing agencies." Hmmmmm...........who's the predator here? "
grandfolks wrote on Oct 15, 2008 12:35 PM:
" There are many businesses out there not paying taxes and finding loop holes. The country is full of them which is the reason for the economic meltdown. This business owner is paying his employees wages and providing children with opportunity. Kids are not causing trouble on the streets when at the Hilander. He mortgaged his home to make this work. Springer would rather pay his suppliers and employees rather than the government. Nothin wrong with that. "
lucky1 wrote on Oct 15, 2008 12:40 PM:
" I drive down to the Van Mall now to take my daughter and her friends to glow golf. So that would probably be a nice start. "
Evorg wrote on Oct 15, 2008 12:43 PM:
" This just in - IRS came and closed the doors this morning.
This is the end. "
This is the end. "
cheney119 wrote on Oct 15, 2008 12:48 PM:
" Robert D. Putnam's book Bowling Alone: America's Declining Social Capital documented the dropping rates of participation in all civic activities; church, clubs (Elks, Moose, etc) and bowling leagues. Why does it surprise any of us that the Highlander would be extremely vulnerable to failure while expanding while bowling as a recreation activity is contracting? I predict that when the Highlander quits operation it will not remain a bowling alley. I hope that a valuable building will not remain empty long. The other question that springs to mind is why anyone thinks this is a good activity for children? It's barely athletic, it's kind of expensive, you tell me is this what kids want to do? This is the kind of endeavor where you could be board while doing it. "
jackal wrote on Oct 15, 2008 1:00 PM:
" Guys, he IS paying his debts. Look how much it's gone down. He used to owe $5 million. Only makes sense that it'd take some time for him to pay off such a large amount. "
agro_vader wrote on Oct 15, 2008 1:06 PM:
" Looks like once again, Springer STRIKES out! Too bad he doesn't have any SPARE change. Hope he doesn't end up in the GUTTER, but I'm afraid it's right up his ALLEY! "
KT_32 wrote on Oct 15, 2008 1:35 PM:
" To CMBurns: the Hilander IS the only bowling alley in Kelso, wouldn't be hard to be voted #1. The only other one is in Longview, but it must be SOOOOO difficult for people to drive across the river to have a family fun night there. But, you better call for reservations because they will be extra crowded now that the Hilander is closed. "
Tasha_05 wrote on Oct 15, 2008 1:41 PM:
" We don't have a choice on paying taxes or our bills, why should this business owner. Theres always people who agree with him, but why? He ruined this himself and he needs to fix it, yeah it may be a good place for our kids, but I am not for supporting him and putting my tax dollars to it. Mr. Springer needs to figure it out or stop trying to run the place if he can't. Making a mockery of himself! "
stag wrote on Oct 15, 2008 1:56 PM:
" Where is my 5 cent in the matter of it all. What I think should happen is that he should sign over the business over to the city and the city should run it. At the same time this man should still pay for the tax he owes. This place has be here as long as I can remember and I'm 41 y/o so when I think of my hometown I also think of the highlander as well. What this man did is for sure wrong, but at least this way we the people can still go there and take the kids. I think that we should have this to a vote here in Kelso/Longview to have where both cities own the place. This could be a good place for a rec. center for all ages and that both cities can make some money at the same time. Just make this guy pay his bills and hand over his business. It is for sure a win/win on both sides. "
ckskeeter wrote on Oct 15, 2008 2:42 PM:
" I am a supporter of Hilander, not Jim, but definitely the Hilander. With it shut down, the bowlers in this town will go crazy. Triangle is no where big enough to handle us all, nor provide the same bowling conditions as the Hilander (types of lanes, oil patterns). I dont see a family center at Triangle, just an old-fashioned bowling alley, no offense to Bo. Sure Jim is behind in debt, but who isnt. How many people can honestly say they have no credit cards, no loans, no mortgage, no car payment, etc to pay back? When you get behind it is hard to keep up, especially when you go from an easy payment at the old Hilander to building a new and improved Hilander (massive debt overnight). Jim has been keeping up for a few years now and is slowly paying back what it owed (not all was the sell of the old building). If the courts would have accepted the $100,000 bond, even as a partial payment (which came from his assets, daughters college fund, and retirement), that would have been a start to paying. No one is even giving him a chance. Instead he is getting stoned for things that happened several years ago while expanding his successful business (since some think he is no business man) and isnt even taking into consideration that he HAS been paying his expenses for the last few years plus a little more. "
agro_vader wrote on Oct 15, 2008 2:51 PM:
" Let's turn it into a skating rink.... no wait that already failed! How about a mall.... no wait that's not doing too well either. How about a theater..... hmmm nope, already got one of those. I've got it, put put golf..... hmmm that didn't work either. Guess I'm fresh out of agro_vating ideas. Wonder what it would cost somebody to buy it outright from this tax-evading schlub. "
Logger Dude wrote on Oct 15, 2008 2:53 PM:
" Ok I've been reading the comments posted on these articles for months & I've got to put in my 2 cents. I have bowled for over 40 years. 30 plus of them exculively at the OLD Hilander. I've know Jim Springer for most of those years (he attented my daughters weddings).I have family that were employed at the OLD Hilander. They left when they saw the way things were going at the NEW Hilander. Jim should have simply invested his money into fixing up the old building instead of building the mini circus that the NEW Hilander is. My wife & I quit bowling at the NEW Hilander after one season of league. When the Triangle opened Jim was quoted in TDN as saying this area wasn't big enough for 3 bowling centers. That the Triangle would go under in 2 years. Then when the Foxx Bowl closed he said he didn't NEED to take on any new leagues because the bar & restaurant were where he made his money. Well, Jim it's 3 years later & which bowling center is still open? Triangle. What Classic_mustang_chick stated is true. As far back as 3 years ago employees had problems with cashing their paychecks & going to the dr. only to find out Jim had not paid the health insurance. I personally hope he manages to stay open. We need two bowling centers! One can't accommodate all the league bowlers & we can't have Tourneys with just one house. "
Nintendo Fan180 wrote on Oct 15, 2008 2:59 PM:
" Tear the building part down. Then Put a Red Robbin there. And at the old Hilander Building put an Olive Garden. "
dalefanfromwa wrote on Oct 15, 2008 3:06 PM:
" ckskeeter you are right the Triangle is not a family fun center. Who needs a carnival in a bowling center? Beau, Kurt & Scott have expanded the gaming area to 2 rooms( about the same amount of games as the old Hilander.) They hold birthday parties for more than half what Hilander charges. Every time the Hilander shuts down their phone doesn't stop ringing from calls from frantic mom's who have birthday party deposits with Jim. You are also right about us bowlers needing 2 bowling centers.I too hope Jim keeps things going. The Hilander closing will not only leave the kids without a place to go. The community will have all us old kegglers out on the streets getting into trouble...lol. "
crowsfeet wrote on Oct 15, 2008 3:16 PM:
" I had a bowling ball once, but I will sure miss the bar, hic. "
StirThePot wrote on Oct 15, 2008 4:54 PM:
" As a former student of Jim Springer, I have known him for a very long time. A really nice guy but arrogant. Does anyone remember when Jim ran for political office? Lets see, he ran as a democrat. Hmmmmmmmmm that means he likes to raise taxes but not pay them...interesting.....I will be waiting for all of your comments...LOL "
moorejl wrote on Oct 15, 2008 4:55 PM:
" all the negative crap about jim and how he didnt pay his taxes do you no the hole story no then shut up I worked ther for almost 10 years and it was not all bad ya he made some bad choices but not once did he say hey im not gonna purpously not pay taxes so i can take a chance on going to prison no he didnt pay so employees could get a check and feed our familys, now im unemployed and have no way to pay the rent and feed my children. so all you bad mouthing to face b.s,ers move on and take your negative crap somewhere else. never give up jim... "
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