The Latest: Judge rejects sanctions for former billionaire

The Latest: Judge rejects sanctions for former billionaire


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BILLINGS, Mont. (AP) — The latest on court sanctions requested by the legal adversaries of a former billionaire who refused a jailhouse deposition (all times local).

4:30 p.m.

A federal judge has rejected a call for sanctions against the founder of a Montana resort for the ultra-rich after he refused a jailhouse deposition.

Attorney Paul Brain said U.S. District Judge Richard Jones ruled against sanctions for his client, former billionaire Tim Blixseth, during a Monday hearing.

Blixseth has been in the Cascade County jail since April. That's when he was found in contempt of court for not turning over details of a resort property in Mexico sold in defiance of a court order.

Creditors for Montana's Yellowstone Club had sought more than $31,000 in legal expenses from Blixseth. They said Blixseth refused to leave his Montana jail cell to answer questions about a lawsuit involving his wife.

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10:30 a.m.

Creditors in the bankruptcy of a Montana resort for the ultra-rich are seeking court sanctions against its founder, a former billionaire, for refusing a jailhouse deposition.

Yellowstone Club founder Tim Blixseth of Medina, Washington, has been in a Montana jail since April. That's when a judge found him in contempt of court for failing to fully disclosing what happened to part of his fortune.

Attorneys for the club's remaining creditors say that on Dec. 7, Blixseth refused to come out of his jail cell for a previously scheduled deposition.

They want a federal judge to force Blixseth to appear for a deposition this week and repay them more than $31,000 in legal expenses.

Blixseth attorney Paul Brain says his client had no obligation to appear.

U.S. District Judge Richard Jones has scheduled a Monday hearing in the matter.

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Matthew Brown

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