DC4MS

Ex-Tanner & Haley VP to Get Payout

Associated Press 12.03.07

Ex-Tanner & Haley VP to Get Payout - Forbes.com

WASHINGTON -Tanner & Haley Resorts is free to pay a top executive $300,000 to drop $46 million in claims against the company, a bankruptcy court has ruled.

The U.S. Bankruptcy Court in Bridgeport, Conn., on Friday approved a settlement between Tanner & Haley and Michael Shelton, a member of the company's board of managers, according to court documents.

Under the settlement, Shelton will receive $300,000 in exchange for dropping $46.2 million in claims stemming from unpaid compensation and expenses.

Shelton was an executive vice president of Preferred Retreats Design Group Inc., the management arm of the company, until June. He is also a member of the company's board of managers. According to court documents, he was not paid for work he did between June and October.

As part of the settlement, Tanner & Haley will pay him a retroactive monthly salary of about $23,000 to cover the period between June 23 and Aug. 31, according to court documents.

Tanner & Haley filed for Chapter 11 protection in July 2006. It ran three "destination clubs" - Private Retreats, Distinctive Retreats and Legendary Retreats - that leased luxury homes to dues-paying members. It sold its real estate assets to Ultimate Resort LLC for $100 million, completing the sale earlier this month. The court has approved its bankruptcy plan.

Mike Shelton

As of last evening, I understand that my name, and various inferences to me are contained on this site. Fortunately, I suspect this site is nothing
more than a glorified bulletin board filled mostly with employee's, or former disgruntled ones, of various destination clubs. Feel free to post this message on your
site in whatever manner you desire.

For the record, I am THE Michael Shelton, former EVP and Board Member (post petition) of Tanner & Haley. I joined the company in Nov 2005
and was employed there for 6 mos, prior to the bankruptcy filing. Post-petition, being recommended by XRoads and the then acting CRO, I was
made an Officer and Board Member of the management company, approved by the Court. For the record, I am the only member of senior
management, or the Board, who received a complete release and waiver from the UCC and Bankruptcy Court. While I amicably opted out
of the industry and go forward employment with Ultimate Resort, I am a friend of Jim Tousignant's, a member of Ultimate Resort, and therefore have
a vested interest in the continuation of this industry. Numerous of my friends are members and / or employees of destination clubs.

For the record, had my involvement with the company ceased to terminate on the filing date, those then members of Tanner likely wouldn't have
seen any go forward plan other than a CH7 liquidation. I worked diligently with our legal and financial advisors, as well as the UR team to close a very difficult transaction with numerous intricacies.

Until this day, I have not been on this site, nor do I care to be - or will be, again. If anyone wants to speak to me, use my REAL contact information
below. If you have "issue" with me, call me. If you are in fact "impersonating" me or making libelous comments about me (as a poster or moderator), I suggest
that you do in consultation with your legal counsel who can discuss the repercussions of such acts with you. My attorneys information
is also below - if you are too much of a coward to contact me, call him.

I suggest anyone posting in my name, or about me without relevant facts remove said posts immediately. Mind you, most jurisdictions allow legal actions, civil and/or criminal, to deter various kinds of defamation and retaliate against groundless criticism, and I will pursuer any and all remedies as necessary. I suspect you are tracking IP addresses for security purposes.

Michael L. Shelton
mlshelton@gmail.com
917-902-6104


Kevin A. Coles
Coles, Baldwin & Kaiser, LLC
Attorneys and Counselors at Law
1261 Post Road ~ PO Box 577
Fairfield, Connecticut 06824
Tel: 203.319.0800

DC4MS

*** correction as of 4-22-08 to correct link to new URL ***

Ex-Tanner & Haley VP to Get Payout