From the MCRFB NEWS archive: 1966
Bid To Buy Chapter 11 Vee-Jay Records; Set Hearing June 3
LOS ANGELES — June 3 has been set as the date for Chicago bankruptcy referee Shaeffer to hear local attorney William Bluestein’s formal proposition for the purchase and reorganization of Vee Jay Records, currently in chapter 11 status.
Bluestein represents a group of individuals who are interested in reorganizing the label. He said that referee Shaeffer had “tentatively approved as feasible,” his program for rejuvenating Vee Jay last Tuesday (May 17) but then continued the hearing into June.
The matter of who gets possession of 69 Four Seasons masters was also continued until June 3.
Bluestein revealed that Vee Jay owes the government $11/2 million and has $1.8 million in creditor’s debts. The attorney said he has worked out a plan with the government to liquidate the tax claims and that all creditors would receive a percentage of the moneys owed them.
The label would be brought back to L. A. Bluestein intends to purchase all the stock owned by James and Vivian Brackens and the small per cent owned by Mr. Bracken’s brother. Bluestein’s combine is interested in operating Vee Jay’s R&B and gospel catalog. END
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(Information and news source: Billboard; May 28, 1966)
