Bankruptcy Court OKs Motion To Appoint Trustee In Ed Stolz Case

Motion Granted

The UNITED STATES BANKRUPTCY COURT for the DISTRICT OF NEVADA has approved an order granting a motion by U.S. Trustee TRACY HOPE DAVIS to have a trustee appointed by the court to oversee three of ED STOLZ's companies in Chapter 11 bankruptcy. The order, supported by LARRY PATRICK, the former receiver for the stations, and VCY AMERICA, whose purchase of the stations was blocked by a court ruling, also averts an alternative option that would have thrown the case into Chapter 7 liquidation. DAVIS' motion alleged that STOLZ's companies failed to file monthly operating reports, provide evidence of insurance, pay $1,503.91 in trustee fees, obtain bankruptcy counsel, confirm a reorganization plan, or prosecute the cases.

STOLZ, whose failure to pay music licensing companies led to the receivership, reasserted control over the three stations, KREV-F/ALAMEDA-SAN FRANCISCO, KFRH/NORTH LAS VEGAS and KRCK/MECCA-PALM SPRINGS, in 2022 pursuant to NEVADA BANKRUPTCY COURT Judge AUGUST B. LANDIS' order after PATRICK filed with the FCC to sell the trio to VCY AMERICA for $6 million. LANDIS' order came as the NINTH CIRCUIT COURT OF APPEALS, which had released $1,685,673.16 STOLZ deposited with the court to ASCAP on behalf of the plaintiff creditors, was considering whether the payment would dissolve the partnership. With LANDIS' ruling effectively ending VCY's brief LMA of the stations, KREV adopted a Dance format as "PIRATE RADIO 92.7," KFRH is simulcasting sister News-Talk KBET-A (790 TALK NOW)/LAS VEGAS, and KRCK is airing a Top 40 format.

STOLZ's SILVER STATE BROADCASTING, LLC, GOLDEN STATE BROADCASTING, LLC, and MAJOR MARKET RADIO, LLC initially lost the stations to receivership after a 2018 jury determination that STOLZ's stations played 11 musical works without paying royalties. The plaintiffs in that case included WB MUSIC CORP., BUT FATHER, I JUST WANT TO SING MUSIC, HUNTERBORO MUSIC, UNIVERSAL POLYGRAM INTERNATIONAL PUBLISHING, INC., SONY/ATV TUNES LLC, OBVERSE CREATION MUSIC, NICE HAIR PUBLISHING, PARTY ROCK MUSIC, YEAH BABY MUSIC, ESKAYWHY PUBLISHING, UH OH ENTERTAINMENT, DIVINE MILL MUSIC, FINGAZ GOAL MUSIC, EMI APRIL MUSIC INC., HI MOM I DID IT, CHEBRA MUSIC, and UNIVERSAL MUSIC CORP.

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