State Files to Dismiss Katz's Bankruptcy; Eyes Caddy

Things aren't looking too hot for Katz's Deli: according to the Austin Business Journal, the state has filed for a dismissal or conversion of their bid for Chapter 11 bankruptcy due to unpaid taxes. (A conversion to Chapter 7 would mean the business' assets would be liquefied, as opposed to simply restructured.)

If successful, the dismissal could allow the building's landlord to end Katz's lease and find new tenants. The ABJ also makes note that the deli's famous yellow 1966 Cadillac that's always parked out front is worth about $5,000, which, ouch.

· State Moves to Dismiss Katz's Deli Bankruptcy [ABJ]
· All Katz's Deli Coverage on Eater Austin [-EATX-]

Katz's Deli's Cadillac. [Photo: Blue Ontario / Flickr]