x

Austin's Leading Local News: Weather, Traffic, Sports and more | Austin, Texas | KVUE.com

Trudy's Tex Mex gets $300K loan to pay back employees after filing for bankruptcy

Additionally, Trudy's has been allowed advisory help, which will be provided by the owner of Austin's El Arroyo Mexican restaurant.

AUSTIN, Texas — Editor's note: The attached video is from KVUE's original report on Trudy's filing for bankruptcy on Jan. 22.

On Monday, an advisor to Trudy's Tex Mex told KVUE that a judge has approved an emergency order for a more than $300,000 loan so the restaurant can pay back its employees after filing for bankruptcy in January.

Additionally, Trudy's has been allowed advisory help, which will be provided by the owner of Austin's El Arroyo Mexican restaurant.

Employees are expected to get checks on Monday afternoon. The loan's total amount is $332,108.15.

RELATED: 

215 Trudy's Tex-Mex employees are finally getting their back pay

Trudy's Tex Mex restaurant files for bankruptcy

Trudy's Texas Star Inc., which runs three restaurant locations in Austin – Trudy's North Star on Burnet Road, Trudy's South Star on Little Texas Lane and South Congress Cafe on South Congress Avenue – filed for bankruptcy at the end of January.

Stephen Sather, the attorney representing Trudy's, told KVUE that the company is about $4 million in debt.

According to the court filing, Trudy's requested $13,000 for payroll that was due Jan. 1, 2020, and $237,161.12 for the payroll that was due Jan. 15, 2020.

WATCH: Austin's Teo Gelato closing its doors

PEOPLE ARE ALSO READING:

Austin police investigating suspicious death of man at 'large homeless camp'

'I love you mama': Mother shares last text from her son before he was killed in DWI crash

City of Austin may not have place to take trash after council votes down Waste Management contract extension

Amtrak train strikes bus in Austin, officials confirm