Judge blocks sale of Holiday Inn Resort

Judge blocks sale of Holiday Inn Resort

A circuit judge has blocked Wednesday's planned foreclosure sale of the Tawas Bay Holiday Inn Resort."There are too many questions here. For now, I'm stopping this sale," Iosco County Circuit Judge Ronald Bergeron said.

Huron Community Bank initiated the foreclosure proceedings in May after Tawas Bay Associates defaulted on mortgages held by the bank totaling $2.65 million. A public auction of the resort was set for Wednesday before the court injunction stopped the sale.

Beneson testified that he did nothing wrong and did not vote or participate in discussions about loans to the Holiday Inn made by the city and county. Beneson said confidentiality and privacy issues also prevented him from revealing the hotel was having financial problems.

Judge Bergeron ordered a trial to decide if the injunction should continue for sometime after mid-July.