Judge upholds $41 million ruling against Blixseth
A federal judge has upheld an order for real-estate developer Tim Blixseth to pay $41 million to creditors of a luxury Montana resort he helped drive into bankruptcy.
Blixseth diverted more than $200 million from the Yellowstone Club for personal use, then blamed its 2008 financial collapse on others.
U.S. District Judge Sam Haddon slammed the one-time billionaire for distorting facts and said his fraudulent transfers of money were meticulously documented by Chief Bankruptcy Judge Ralph Kirscher.
Blixseth waged an unsuccessful campaign to discredit Kirscher and have him removed from the case.
Creditors' trustee Brian Glasser says the Yellowstone Club Liquidating Trust already is seeking to collect the $41 million.
Blixseth did not immediately respond to a request for comment on Monday's ruling.
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