Businessman from Closter Owes Feds $2.5 million; Emerges from Bankruptcy

by San Antonio Attorney

A businessman from Closter, New Jersey, filed for bankruptcy ensuing the period when the federal government sought to recover a $2.5 million loan due to construction of an American-style school he founded in Pakistan.

The businessman recently received court approval to allow himself to emerge from bankruptcy.

Munr Kazmir, previously a prominent Republican contributor and fundraiser, also a health care business proprietor, was confirmed by Judge John K.  Sherwood in U.S.  District Court in Newark last week.

Kazmir’s bankruptcy filing 18 months ago listed assets of $4.8 million and a total of liabilities of $20.8 million.

Kazmir agreed to pay $1 million to the Internal Revenue Service and another $78,000 to New Jersey’s tax authorities.  The payment will be given in installments.

The New Jersey businessman also proposed to restructure 15 mortgages on Bergen County and Florida properties.

Kazmir intends to pay them off over 30 years or have the option of handing over the properties to the lenders.

The court previously approved Kazmir’s agreement to pay $3 million over 10 years to solve the debt to the Washington, D.C.-based Overseas Private Investment Corporation.

This is also the same firm in which Kazmir made the loan to the school in 2007.

Kazmir highly believed that the school would pay it off with student tuition.

However, the school had only 12 students on opening day below the expected 400 last 2007.  Kazmir eventually filed for bankruptcy.

The school’s income is now sufficient to be able to pay off the loans.  The school consists of 600 students and boasts a sufficient income of an estimated $15,000 a month.

The school recently modified their curriculum and added an 11th grade to its system.  The businessman hopes to add a 12th grade next year.

Leave a Comment

Previous post:

Next post: