The shuttered McNally Smith College of Music filed for federal bankruptcy Thursday, two months after abruptly closing without giving faculty and staff their final paychecks.
In the 112-page filing signed by Chairman of the Board John E. “Jack” McNally, more than 100 pages are used to list the names of creditors.
In the filing, the school had to check boxes broadly describing its debts and assets. The school checked the box indicating assets between $10,000,001 and $50 million. The college’s estimated liabilities are between $1,000,001 and $10 million.
The filing indicates the college anticipates being able to pay the creditors, estimated to number between 200 and 999.
Until its closing in December, the school had taught undergraduates and graduates in all areas of the music industry for 32 years. Subject areas ranged from performance to audio engineering and composition. But declining enrollment and financial troubles had plagued the college for years.
With the school’s abrupt closing, more than 300 students were left scrambling to find ways to finish their education, and faculty and staff were left without final paychecks before the holidays. Former students organized a fundraiser to try to help them out.