A church in Florida, known as Without Walls Central Church, is going to go up for auction. It is located in North Lakeland. The auction comes after the organization found itself facing around $29 million in debt.
The church has been involved in bankruptcy proceedings for some time now. On top of that, they have code enforcement fines to take care of — fines that have not been paid. To make matters more difficult, the fines are mounting, so the amount owed just continues to increase.
This building is the central location for a church that is located in Tampa, known as Without Walls International Church. In March of 2014, they put in the paperwork for Chapter 11 bankruptcy. They cited owing $29 million on a loan that they had taken out from Evangelical Christian Credit Union. This loan was provided to them back in 2008.
In October of 2012, a case started up involving the credit union and the church, with the credit union trying to foreclose on the building. However, the U.S. Bankruptcy Court stepped in and said that that case could not continue, putting things in motion to set up the auction, instead.
The credit union is authorized to bid on the church, with bids needing to be in by the July 7, so they may be able to buy it in that fashion if they so choose.
Those who have a property that may be the subject of a foreclosure case need to know what rights they have to file for bankruptcy. On top of that, they must understand how filing could impact the foreclosure proceedings and the status of the loan.
Source: Credit Union Times, “$29M Church Default Heads to Auction” Michelle A. Samaad, Jun. 16, 2014