Raging Bull: The Office Grill Co-Owner Michael Costa Files Chapter 11 Bankruptcy

The Office Grill’s Michael Costa, Texas Bear and Bull, LLC,  filed for Chapter 11 bankruptcy on September 26, 2011, six days before he was to appear at hearing to determine if he’d breached his lease agreement. The next day, the Texas Comptroller revoked The Office Grill’s sales tax permit for lack of payment. Legally, The Office Grill can’t operate as a restaurant, yet, as of ten minutes ago, they were open for business.

On September 30, the landlord, 18020 N. Dallas Parkway, LTD filed a motion to convert the Chapter 11 filing to a Chapter 7. Chapter 11 means creditors are held off until reorganization or refinancing is obtained. Chapter 7 means there is no hope for reorganization and assets are to be distributed to creditors. A meeting of the creditors is scheduled for November 7.

The chef left right after Costa was arrested by the TABC on September 20 and Costa’s liquor license is suspended. He’s operating without a sales tax license, liquor license, and a chef? I’ll say this, the guy doesn’t go down easy.

Here is a pdf of the motion filed by 1820N. Dallas Parkway, LTD

8 comments on “Raging Bull: The Office Grill Co-Owner Michael Costa Files Chapter 11 Bankruptcy

  1. Jeanie Jeanie Jeanie… It’s real we are talking Michael Costa here. After all this is wrapped up there will be some other morone that will go into business with this slime ball, This story will continue and i hope Nancy stay’s on it after all it does make a good read.

  2. Anybody have some suggestions for the former empoyees when it comes tax time? We never recieved check stubs or info on the taxes taken out of them, that is when we did get them and they didn’t bounce.

  3. @Yes he did: The least you can do (and you should do this anyway) is contact the Department of Labor and let them know what happened. It’s illegal to not pay wages earned and I have a feeling (although I’m not a bankruptcy lawyer) that any wage claims might or should be calculated into what his estate owes in bankruptcy. Don’t know about the taxes, though.

  4. You might also want to call the IRS and write up a formal complaint. The IRS will fine him a 100% fine on any unpaid withholding. While you can get away without filing sales tax under bankruptcy, withholding is another thing. They will go after him personally for withholding.

  5. Pingback: Restaurant 101: What to do if Your Employer Doesn’t Provide Paycheck Stubs | SideDish

  6. Does this have anything to do with the closing of Bull and Bear on McKinney? I’ve heard rumors ranging from the owner was arrested on cocaine charges to the former owner of the building…supposedly it was shut down by the IRS. Any ideas?