Grand opening, Grand closing, maybe not.
The two nightclubs that were made infamous during the 2000’s filed for bankruptcy this week. Court documents said they had debts between $1 to $10 Mil and assets of less than $50k.
Saddy Family LLC, which owns both Karma Lounge and Bamboo Bar owes $1.6 Mil to Shore Community Bank, $123k in property taxes, $371K to the NJ Economic Development Authority and $160k to a local developer.
“It’s a restructuring under Chapter 11,” said John Saddy, “while the lawsuit goes on.” He insisted that the two clubs in Seaside Heights, both located on the Boulevard, will be open this summer.
The clubs have consistently been involved in controversy with Seaside Heights. Incidents include a lawsuit against the town for discouraging African-American and LGBT from visiting, removal of liquor licenses, police raids and bar brawl in 2012.
Seaside Heights recently turned down MTV’s request for film permits. The town is interested in changing its image and wants no part of the fist-pumping.