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October 10, 2011 05:55 PM

Second Chance Files For Bankruptcy

Sioux Falls, SD

The amount of assets Second Chances has left was corrected.

Nearly $200,000 in unpaid bills, a $5 million federal lawsuit, and a couple hundred identity chips for tracking pets is about all that's left of the Second Chance Rescue Center.

The animal shelter closed its doors in July and now it's filed for Chapter 7 Bankruptcy.

The court filings also reveal that authorities are looking into rumors that former executive director Rosie Quinn may have taken more than $35,000 dollars from her own charity.

The Second Chance Rescue board fired Quinn back in May. Quinn had been the executive director since she founded the animal rescue center back in 2006.

But a messy raid of Hurley dog breeder Dan Christensen two years ago was eventually thrown out of court because Quinn got the search warrant illegally. Now, Quinn is the one being investigated and Second Chance is turning to the courts to pay its debts.

The September 2009 raid of Christensen’s business went from being one of the biggest animal seizure operations in the state to now being the biggest liability in Second Chance Rescue’s litany of debts.

The $5 million federal lawsuit filed by Christensen is the biggest black mark on the defunct animal shelters court documents.

Quinn, who was the face of that raid and the founder of Second Chance, is also listed in the bankruptcy filings in a claim for 'missing corporate funds.'

It says that Quinn was fired back in May for 'insubordination' and now is being investigated for more than $36,000 of missing money. The court documents state that the investigation has been difficult because of the poor business records that were kept, but Second Chance has contacted the Minnehaha County Sheriff's Office to conduct an investigation.

Later in the court filings, it says, 'Rumors persist that Rosie Quinn...stole donations and cash.' It also estimates that the losses range from $25,000 to $100,000 in missing money from donations, misappropriations and thefts from the donation jar.

Including the unsettled lawsuit with Christensen, Second Chance lists $5.2 million in liabilities and unpaid bills, and is relying on the federal courts to sort it all out.

Second Chance only has about $8,000 in assets left. More than half of that total is made up of computer chips used to track pets. The rest of the assets are old kennels, used vehicles and 100 bags of cat food.

SECOND CHANCE RESCUE CENTER TIMELINE
  • Sioux Falls, SD

This article has been revised to reflect the following correction:
The amount of assets Second Chances has left was corrected.

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