Tim Blixseth, founder of the Yellowstone Club, was ordered today by a Federal bankruptcy judge to pay $41 Million for the financial collapse of the private club and ski area. This was in line with a 2010 ruling that was appealed by both Blixseth and creditors, who alleged damages topping $286 million. Judge Ralph Kirscher finalized the $41 million judgment against the founder because the financial firm, Credit Suisse, allowed a 2005 loan to the club to be diverted for Blixseth’s personal use.
In 2008, The Yellowstone Club filed for bankruptcy but was able to repay some of the lenders (about $80 million) when the Club was sold to CrossHarbor Capital Partners in 2011.