The judge overseeing the Pittsburgh Athletic Association’s bankruptcy case has given the club more time to resolve objections to its proposed reorganization plan, the Pittsburgh Post-Gazette reported. The U.S. government filed an objection late last week, saying the plan does not account for an estimated $2 million in taxes the PAA likely will owe on the planned sale of its iconic clubhouse in Oakland. The $11.9 million sale to Walnut Capital is the centerpiece of the reorganization plan, which calls for using the proceeds to repay all creditors in full. “We recognize the IRS has a claim,” the PAA’s bankruptcy attorney, Jordan Blask of Tucker Arensberg, told Judge Jeffrey A. Deller during a status conference yesterday. “We’ve spoken to stakeholders with respect to assisting us” in setting aside a reserve to pay the taxes, Blask said, adding that he expects the tax bill to be reduced substantially once the final figures are worked out.
