Lutheran Social Services of Nevada filed for bankruptcy precocious Friday aft a prospective purchaser for the nonprofit’s gathering connected Boulder Highway walked distant from the deal, the organization’s committee stated.
The troubled nonprofit has received millions of dollars successful authorities backing implicit the past decade.
“Filing for bankruptcy was considered a captious past edifice aft exhausting each different tenable efforts pursuing the mismanagement and consequent termination for origin of the erstwhile CEO,” according to the board’s quality release.
The merchandise said the committee — Henderson City Councilwoman Carrie Cox, lawyer Jason Stoffel and location inspector Shawn Davis — would supply nary further comment.
Former CEO Tim Bedwell did not respond to a petition for comment. Bedwell’s LinkedIn leafage indicated helium near his presumption successful June, arsenic previously reported by the Las Vegas Review-Journal.
Lutheran Social Services — lone loosely affiliated with the Lutheran Church, which has mostly chopped ties — has struggled financially successful caller years and seen its estimation marred by controversy, including claims of mismanagement that came to airy aft it suspended operations successful October.
The enactment had been offering blistery meals for seniors, a nutrient pantry wherever clients regularly could get groceries, and different services specified arsenic lodging assistance.
More recently, it sporadically has passed retired nutrient and covering to clients.
Several committee members and cardinal employees discontinue successful September 2024 aft learning, they said, of monthly $8,500 payments apiece to the woman of then-CEO Tim Bedwell, Michele, and to her concern spouse Adam Kent, adjacent arsenic the nonprofit struggled to marque payroll and wage vendors. In an interrogation past year, Tim Bedwell said the payments were above-board and for fundraising and different services.
In December 2025, the 2 Lutheran pastors connected the committee resigned when, they said, Tim Bedwell, Kent and Cox refused to resign themselves.
‘More debt. More liens’
Hope Christian Health Center was successful escrow connected the acquisition of the gathering for its appraised worth of $1.47 million, said its CEO, Steve Flores. The North Las Vegas-based halfway describes itself arsenic a “non-profit, faith-based household medicine center.”
Because authorities backing was utilized to conception the building, determination are restrictions connected however the gathering tin beryllium utilized aft its sale, which lowered the appraised value, Flores said.
The nonprofit wellness halfway was readying to supply aesculapian services arsenic good arsenic run a nutrient pantry successful the building, which is portion of a field that includes a Boys & Girls Club, a charter schoolhouse and low-income housing.
“Though we privation to spell into that community, determination are excessively galore things tangled up successful that purchase,” Flores said successful a Friday interview. “More debt. More liens. Not being capable to verify and validate each those things. … Too messy. Too ugly.”
The bankruptcy filing lists aggregate creditors, including banks, vendors and adjacent Tim and Michele Bedwell. In March, Tim Bedwell filed for divorce.
In 2024, the nonprofit utilized the gathering arsenic collateral to instrumentality retired a $750,000 enactment of recognition from MidFirst Bank, documents show. Jon Paul, the nonprofit’s part-time main fiscal serviceman for astir of 2025, said the enactment of recognition was tapped retired earlier helium joined the organization. It was not paid back, helium said.
In December 2016, Clark County approved $5.8 cardinal successful national Community Development Block Grant funds for what was described arsenic the Boulder Highway Collaborative Campus. About fractional of the backing was to physique the Lutheran Social Services gathering and the different fractional a Boys & Girls Club, a region spokesperson said.
In 2023, the region awarded $1.8 cardinal successful national assistance dollars for Lutheran Social Services to physique an summation that included an expanded kitchen.
A June request missive from the territory attorney’s bureau to the nonprofit states that it serves arsenic last announcement for repayment of $39,375 successful precocious outgo for services not provided and for documentation of the nonprofit’s requests for reimbursement.
Next steps
County spokesperson Jennifer Cooper said successful a substance connection Friday, “The region astatine this clip is moving to find adjacent steps.”
In its quality release, the committee said a third-party Chapter 7 trustee, Troy Fox, would “assume afloat power of the organization, administer the remaining assets, and code the claims of the enactment successful a court-supervised process.”
“The Board profoundly regrets the existent suspension of services and recognizes the hardship this creates for assemblage members successful need,” the merchandise states. “The remaining directors acted successful bully religion and exhausted each enactment nether challenging circumstances to springiness LSSN the champion accidental of survival.”
Flores said his enactment inactive wants to enactment successful the neighborhood, adjacent if it means for the clip being parking a mobile portion successful the building’s parking lot.
“Once again, it’s the assemblage that is losing out,” helium said astir the nonaccomplishment to adjacent escrow connected the building. “It was assemblage wealth — the assemblage — that paid for it successful the beginning.”
Contact investigative newsman Mary Hynes astatine mhynes@reviewjournal.com oregon astatine 702-383-0336. Follow @MaryHynes1 connected X.
English (US)·