Sno Mountain Now in Bankruptcy

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SCRANTON -- The Sno Mountain Ski and Water Park Complex in Lackawanna County, is now in Chapter 11 Bankruptcy.

Ten days ago, a group of investors that owned the complex claimed it cost them a collective total of almost $10 million.

This week they successfully have forced Sno Mountain into bankruptcy, and essentially forced out Denis Carlson, the man who has been in charge of Sno Mountain since the investors bought the complex from Lackawanna County six years ago.

Ski lifts and snow makers seem ready for the winter season.

However, as the resort prepares to open, a group of investors have been in Federal Court, claiming that former Sno Mountain General Partner and President Denis Carlson mismanaged the resort and wanted him ousted. Carlson's lawyer said his client did nothing wrong, and stepped down to allow the bankruptcy process to proceed.

Workers know about the lawsuit and cannot talk about the situation because of it, but they said they`ve been assured that Sno Mountain will be open for the upcoming ski season.

That's good news for Lee Ann Mitchell, whose family has owned the Bear Creek Ski Shack at the base of the mountain for 29 years.

She`s more concerned about the weather this upcoming winter, but adds bankruptcy could help the ski resort regain its financial footing.

"I`m glad that they`re taking steps necessary to keep the mountain viable, to keep it open for the community," said Mitchell.

Denis Carlson's attorney stresses Carlson did nothing illegal, and that his departure was voluntarily, adding that a tough economy, and a warm winter last year, and not Carlson's management are responsible for Sno Mountain's debt..

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