Reno software makers file Chapter 11
Two Reno-based makers of gaming management software last month filed for Chapter 11 bankruptcy protection.
A bankruptcy hearing before Judge Gregg W.
Zive is scheduled this week for both Gamet Technology Inc., owned by Steve Urie, and Lodging & Gaming Systems, in which Urie is the majority stockholder.
The hearing will also include another business owned by Urie, Club Management Inc., better known as The Caughlin Club health club, which also filed for Chapter 11 protection, and bankruptcy proceedings for Urie and his wife Margaret, according to documents filed by the couple’s attorney, J.
The hearing is an administrative hearing to determine whether all four cases can be considered together.
The filings are a direct result of a $1 million judgment against the software companies after their landlord, South Meadows Office Investors, filed suit over a building lease dispute, according to Urie.
“We lost the lawsuit and because I personally signed the lease my other assets became subject,” to the judgment, he said.
Urie plans to continue to operate all three businesses as they reorganize under Chapter 11 protection.
“Caughlin Club had its best year last year,” said Urie.
“And the last few years have been difficult for all technology companies.”
According to the bankruptcy filing, Gamet has between $1 million and $10 million in assets and debts, and about 40 creditors.
The Iowa Department of Revenue, the Mississippi Tax Commission and the Nevada Department of Taxation are listed among those creditors.
In 2002, Fred Sibayan, a founder of Exodus Communications and founder of Sierra VisionLaunch, a firm providing help to early stage companies, was appointed chief executive officer and president at Gamet.
Urie said Sibayan only acted as CEO and president for about six weeks and is no longer associated with the company.
The company now known as Lodging & Gaming Systems was originally founded in 1970 by Urie and eventually sold to Bally Systems.
Urie bought it back in 1990 and in 2000 he founded Gamet.
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