Bankruptcy plan of Latrobe doctor Monsour faulted
Dr. William “Boone” Monsour says he can pay off $1 million in debt to creditors over the next five years, according to a filing in federal bankruptcy court in Pittsburgh.
Monsour, who filed for bankruptcy in February, submitted a plan this week detailing how he will restructure his debt in order to pay off banks and other creditors without having to sacrifice his Ligonier Township estate.
The reorganization plan, however, comes with a warning.
An accounting firm that analyzed the plan said it is based on “hypothetical assumptions” and “should not be considered to be a presentation of expected future results.” The plan must be approved by a bankruptcy judge before it can be implemented. A hearing on the plan will be held Oct. 8.
Monsour, 54, is a physician who operates a weight-loss practice in Ligonier, Pri-Med Care Inc. and WJM Enterprises, according to court documents.
Monsour plans to continue working as a doctor and “will dedicate sufficient portion of his income” toward paying his creditors, according to the filing. The filing is based on Monsour's assumption that his monthly income will be $10,500 a month. After his living expenses are accounted for, he will have $45.18 in excess income, according to a financial projection.
Monsour's attorney, Donald R. Calaiaro of Pittsburgh, said the accountant's cautious assessment of his client's finances is “not unusual.”
“It's a projection,” he said. “His plan is to repay creditors over five years. That's what the statute requires. That's what he's projecting.”
A large chunk of Monsour's debt is owed to banks, court records show.
Monsour owes SunTrust Mortgage Co. $656,000 on a first mortgage on his township residence and more than $182,000 to PNC, which holds a second mortgage, according to court filings. He owes nearly $482,000 in unsecured claims.
He owes Wells Fargo and PNC first and second mortgages on a residence he owns in Unity that had belonged to his father, Dr. Robert Monsour, who died earlier this year.
Monsour said he will give up title to that property.
“We're doing that to cut his costs and pay creditors more,” Calaiaro said.
Monsour holds 6 percent of Westmoreland Priority, which he said owns the debt on the former Monsour Medical Center in Jeannette, according to court records. The property is slated for a sheriff's sale Sept. 9 because of unpaid taxes and tax liens.
Monsour said he plans to “retain an interest” in Westmoreland Priority, which could hinder the city's efforts to acquire the condemned building so it can be redeveloped by Westmoreland County.
Monsour was the subject of a police investigation into the death of Mia Vottero, 25, of Greensburg, who was found in his township home on Sept. 14.
Her death was attributed to acute drug toxicity; the manner of death has still not been determined, according to the county coroner's office.
Richard Gazarik is a staff writer for Trib Total Media. He can be reachedat 724-830-6292 or at email@example.com.