Bankruptcy Judge Gives Tentative Approval to Sell USA Springs Land

by San Antonio Attorney

A United States bankruptcy judge in Manchester has temporarily allowed the sale of the old USA Springs land in Barrington and Nottingham to a Massachusetts financier who had formerly told officials in town that he wanted to extract groundwater from the 189-acres land.

The insolvent estate of USA Springs is going to sell the land to Kevin B.  Delaney for $1.2 million.

Francesco Rotondo, the previous owner of the land, backed out from his bid of $2 million.  He told bankruptcy trustee Thomas J. Raftery that he does not have the money yet.

Rotondo had been trying to get fresh funding since he declared bankruptcy in 2008.  He had left a partly completed water bottling plant for about eight years.

The permits for the land are already expired, according to state attorney Peter Roth and town officials.  Many residents who came to hearing also agreed to the position.  Furthermore, the regulations have been hardened concerning groundwater extraction, and any application is going to get more scrutiny, considering the drought that has affected the area.

Judge Deasy told Delaney that the neighborhood won’t be pleased with his plans.

Judith Doughty, a resident in the area for 50 years, said that Delaney better take reasonable steps in order to meet the legal requirements.

She filed an objection to the land sale, saying that neighbors plan to put into effect a local ordinance that prevents commercial water extraction.

The majority of that $1.2 million generated from the estate sale would go to tax payments.  Nottingham would get almost $1 million, while Roswell Mortgage would only get $100,000 from its $12 million claim.  Another large creditor, Aho Construction, is claiming a $200,000 perfected lien against the old structure.

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