Stagecoach Inn, a steakhouse restaurant and lounge in Garden City, has filed for bankruptcy in federal court.
The restaurant has 28 employees.
Stagecoach Inn, on Chinden Boulevard west of Fairview Avenue, opened in 1959. Current owners Rick and Jennifer Fraser bought it in 2007. But they fell behind on tax payments to the state, according to the bankruptcy documents.
That prompted the state to seize the restaurants liquor license, which could then be resold, Jennifer Fraser said.
The state pulled the license the Friday afternoon before New Years Eve, Fraser said. The restaurant has had a 66 percent drop in sales so far this year, she said. This was our only recourse to keep our [liquor] license, she said.
She said Stagecoach now has the money to pay its back taxes and wants to make good on its debts it just couldnt get the funds together before losing its license.
Its understandable they want their money, Fraser said. The states hurting for money. We get that.
Stagecoach filed under Chapter 11 bankruptcy, which allows a business to reorganize without being sued by creditors.
The liquor license is worth $250,000, according to the bankruptcy filing.
The bankruptcy filing also lists tax-related debts to the Idaho Department of Labor and Ada County Assessors Office; $120,000 of 2010 taxes to the Internal Revenue Service; and $75,000 of unsecured debts to the Idaho State Tax Commission. It listed as one of its debts about $6,000 in unpaid state sales tax. Getting behind on sales tax is what led to the license seizure, according to Fraser.
The filing shows a total of $515,886 in debts owed by Stagecoach Inns company, including many that are related to business expenses. The company has about $360,000 in assets, and the liquor license accounts for about two-thirds of that.
In other local restaurant news, European bistro and bakery La Vie en Rose has closed in Downtown Boise. Its last day of business was Sunday.
The restaurant, which opened in 2006, was located at 928 W. Main St. in the Idanha building.
Its been a roller coaster, says co-owner Michael Barker. He and pastry chef Patrick Brewer started the bakery and restaurant 6 years ago. The holidays were a bit off, but after Christmas we were off by 50 percent. It hit quick and hard, and we thought it was safer not to move forward.
Audrey Dutton: 377-6448 Twitter: @IDS_Audrey
Entertainment Editor Michael Deeds contributed.