Wells Fargo Balks At $1.3M Gottschalks Sale

Law360, New York (September 15, 2009, 4:47 PM EDT) -- Citing its interest in the properties as part of a $19 million loan, Wells Fargo Bank NA has asked a bankruptcy judge to block the proposed $1.3 million sale of two California properties by bankrupt regional department store chain Gottschalks Inc.

In a motion filed Monday in the U.S. Bankruptcy Court for the District of Delaware, Wells Fargo said that the sale as proposed would destroy the bank's interest in the properties.

In August, Gottschalks asked the court to approve the bidding procedures to sell two...
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