A major California wine dealer that abruptly closed its store amid accusations of fraud by customers has filed for bankruptcy, according to court filings.
Premier Cru, a wine retailer and importer based in Berkeley, California, filed for Chapter 7 liquidation Friday, citing $70 million in liabilities and only $7 million in assets. The case is believed to be the biggest wine-seller bankruptcy in recent history, and could rattle confidence in the fine wine world.
"This is by far the biggest that I've seen," said Marc Lazar, president of Domaine, a leading wine advisor and wine-storage company. "I think people are going to feel burned after this and feel less willing to open up their pocketbooks for wine."