A second bank has moved to foreclose on Northwest Oklahoma City's exclusive Gaillardia Golf and Country Club.
Little Rock-based Bank of the Ozarks filed foreclosure papers against Gaillardia's owners Monday in Oklahoma County District Court.
In court documents, Bank of the Ozarks claims the club's owner, Arkansas-based Herrington Inc., and CEO Phil Herrington owe $6.8 million plus interest on a defaulted mortgage on the club and golf course.
Oklahoma City-based First Liberty Bank also began foreclosure proceedings against Gaillardia earlier this month, claiming the country club owed more than $1.5 million on a second mortgage.
Like First Liberty, Bank of the Ozarks is asking the judge in the case to appoint a receiver to take control of the country club until the property can be sold.
The country club and other property at Gaillardia “are in danger of being lost, removed or materially injured,” Bank of the Ozarks claims in court documents.
The “current condition of the mortgaged property and the collateral are rapidly deteriorating and may pose concern for the safety of the occupants or users,” Bank of the Ozarks said in its foreclosure filing.
First Liberty also claims in its request for receivership that Gaillardia is in danger of losing its only source of water to irrigate the greens at the golf course for failing to pay money owed to the Oklahoma City Water Utilities Trust.
The bank said in court documents filed earlier this month that the roof leaks at Gaillardia's 55,000-square-foot French Normandy-style clubhouse and that creditors have threatened to repossess the club's golf carts.
Peter Vitali, the club's executive director, said all of Gaillardia's facilities continue to be open and the club hosted a PGA Junior Tour event this week.
“We're rolling along,” Vitali said.
A call to an attorney for Bank of the Ozarks was not returned Wednesday. Herrington did not respond to a request for comment.
A hearing on whether to place the country club and golf course into receivership was canceled last week and has yet to be rescheduled.
First Liberty declined to comment on the foreclosure.