The Real Deal Miami

Royal pain in Royal Palm fracas

June 19, 2008 12:59PM

Accusations of fiscal shenanigans surfaced in court as Royal Palm hotel-owner Guy Mitchell’s legal troubles mount. The Miami hotel was placed into receivership earlier this month after the hotelier lost another court case in Chicago. The Royal Palm had been slated for a $134 million partial conversion to condominiums, but financing was upended by the ripples of the subprime mortgage market collapse and subsequent credit crunch. Mitchell is accused of diverting $4 million from the resort to offshore bank accounts.