Simad Holdings summer camp bankruptcy

In late July, Simad Holdings, the New York‑based owner of more than 30 Jewish summer camps, filed for Chapter 11 bankruptcy after the Shabsels brothers defaulted on loans and bonds. The filing revealed that the brothers had transferred $34 million to companies they controlled, leaving the camps with liabilities estimated between $500 million and $1 billion. At the same time, Camp Laurel in Maine sued its charter‑flight operator for breach of contract and sought damages.

A week later, a court‑ordered auction of 23 camp properties raised about $368 million, roughly 7 % above the prior appraisal. The most prominent sale was Camp Mohawk in Westchester County, which fetched $120.8 million from FitzWalter Capital Partners, outbidding a stalking‑horse offer from Warner Bros. CEO David Zaslav. Buyers also included existing camp operators, private‑equity firms, and nonprofit groups. The auction and bankruptcy filings prompted criminal investigations by the Israeli Securities Authority and a parallel probe by the U.S. Department of Justice, while restructuring officer Assaf Ravid was appointed to keep the camps operating through the summer.