Gaming figure Glenn Schaeffer is countersuing a Las Vegas bank in a dispute over a short sale involving a luxury condominium.
Bank of Nevada sued Schaeffer in March, charging the former Mandalay Resort Group and Fontainebleau Las Vegas official had failed to disclose “significant” assets he controlled when it approved the short sale.
Under terms of the sale, Schaeffer paid $50,000 and the bank forgave $631,000 in debt against a Turnberry Place condo on Paradise Road.
In a counterclaim filed last week in Clark County District Court, attorneys for Schaeffer said the Bank of Nevada lawsuit over the $1.373 million condo loan involved a “case of contracting remorse by a bank desiring to cover up for its defective and underhanded business practices.”
Schaeffer’s side of the story is that his records disclosed to the bank showed he had assets of more than $10 million, including an interest in a vineyard in New Zealand.
Schaeffer is known as a partner in New Zealand’s Woollaston Estates winery.
“Bank of Nevada’s allegations are frivolous and knowingly false and were undertaken to cover up for its own misconduct,” says the counterclaim, which adds that Schaeffer has long been acquainted with several board members at Bank of Nevada, including one with extensive knowledge of Schaeffer’s finances.
With the filing of the counterclaim, it’s unknown how or when the dispute will be resolved.
Schaeffer is represented in the litigation by the Las Vegas law firm Pisanelli Bice PLLC.
Bank of Nevada is a unit of Phoenix-based Western Alliance Bancorporation.