NEW ORLEANS (WVUE) - Oz dance club was sold to the highest bidder at auction on Wednesday. Mike Motwani bought the Bourbon Street club for $8.175 million, according to our partners a Nola.com/The Times Picayune.
Motwani must close the deal and pay in cash by August 15. If he fails to do so, the club will go to Sidney Torres IV, whose bid was $8.125 million, the paper reports.
The club, located at 800 Bourbon Street, is billed as New Orleans' No. 1 gay dance club
Oz nightclub co-founder and creator Doyle Yeager says inner ownership strife and legal battles caused the nightclub to end up in bankruptcy court.
"The filing of the bankruptcy was voluntary, and was intended to be used as a vehicle for the corporations to investigate the source and purpose of most of the company's debt," said Yeager.
However, differences in the owners' management philosophies created a hostile environment, according to Yeager. Even though the business was able to pay all of its debt, the vast majority of the business's debt did not belong to the company itself, but instead belonged to one of the other owners.