Hollywood Palms Files for Bankruptcy; Naperville Theater Says It Will Remain Open

As its owner battles legal woes, charged with more than 100 counts of felony tax evasion, Naperville theater Hollywood Palms last month filed for bankruptcy protection.

The multiplex and restaurant, 352 S. Route 59, will remain open despite the filing, theater management told The Chicago Tribune.

The paper reported that owner Edward C. “Ted” Bulthaup owes First Community Financial Bank $3.8 million — more than the previous theater owner believes the business is worth, according to court documents.

Bulthaup, of Woodridge, was arrested in December 2014, accused of failing to report state taxes of at least $1.3 million between 2009 and 2013 for both Hollywood Palms and a second theater, Hollywood Boulevard in Woodridge.

Hollwood Palms marketing director Holly Hu told the Tribune that the venue is seeking new ownership, and in the meantime, Alex Moglia of Schaumburg-based Moglia Advisors has been named manager of the theater during a restructuring and transition process.

The theater is “working to find the best possible buyer at the absolutely best price,” Moglia said, according to the Tribune.