Business

Vermont ski resort to stay open amid federal fraud probe

This April 18, 2016 photo shows Jay Peak Resort. Sweeping plans for development in an economically depressed area of northern Vermont brought the promise of jobs to a region that has some of the highest unemployment rates in the state. But new allegations that Bill Stenger, president of Jay Peak ski resort, and his partner Ariel Quiros, owner of Jay Peak, misused more than $200 million in foreign investors' money in Ponzi-like fashion has brought some of the development to a halt and left state officials saying theyve been betrayed. (AP Photo/Lisa Rathke) Lisa Rathke / AP

By The Associated Press

April 27, 2016

1 minute to read

JAY, Vt. (AP) — The federal receiver appointed to oversee two Vermont ski resorts amid fraud allegations says he’s secured enough money to keep Jay Peak open.

Michael Goldberg and Vermont Gov. Peter Shumlin met with Jay Peak employees Wednesday, nearly two weeks after the Securities and Exchange Commission and the state accused the resort’s owner and president of fraud.

The resorts’ owner, Ariel Quiros, of Miami, and Jay Peak’s president, Bill Stenger, of Newport, Vermont, are accused of misusing more than $200 million raised from foreign investors through a special visa program. Both say they’ll be cleared of wrongdoing.

Goldberg says he expects the other, Q Burke, and its new hotel to open in the fall. He also expects both resorts eventually to be sold. The company managing the resorts says it intends to open Q Burke for mountain biking this summer.