Wednesday, September 12, 2007

Cheetah Gym Reopens

Cheetah Gym Reopens
News Update, Mon., Sept. 10, 2007
by Amy Wooten and Andrew Davis
Copyright by The Windy City Times


All Cheetah Gym locations have reopened, capping a tumultuous week in which the now-former owner shut down all three sites on Sept. 5 due to what he called pervasive employee corruption.
According to a letter addressed to the gym’s members, the management staff reopened in Andersonville ( 5248 N. Clark ) and Bucktown ( 1934 W. North ) on Sun., Sept. 9, and will reopen the Edgewater facility ( 5838 N. Broadway ) on Wed., Sept. 12. ( Also, a new gym is scheduled to open in Logan Square at 2618 N. Milwaukee early next year. )

The letter also stated that “ [ t ] hrough the cooperation of Cheetah Guym’s lender, MB Financial, it was decided it is in the best interest of our Members, Staff and Communities to reopen as soon as possible.”

The closing of all three locations came as a surprise to many who came up to the doors of their gym after having worked out the previous day, only to find them permanently closed. Calls to all three facilities went unanswered, and the company’s Web site had been taken down. ( The Web site, www.cheetahgym.com , was back up on Sunday. )

Other gyms capitalized on the development. Representatives from some health clubs stood in front of the Cheetah Gym in Andersonville, and others reportedly offered discounts to those displaced from Cheetah.

Former owner David Wilshire, in a recent letter to members, stated that alleged “theft and graft” forced him to permanently close shop. “The degree of corruption was enormous,” Wilshire stated in the letter. “I was left in a position where I could trust no-one [ sic ] or anything.”

Wilshire spoke to Windy City Times shortly after the letter was sent out.

“It’s been very recent, and pretty much every day another development of a scam that was being played,” Wilshire said. “They were only stealing from me, it looks like.”

A few members stated that money had already been deducted from their bank accounts for September dues. ( If members had electronic fund transfer [ EFT ] memberships, monthly dues were billed automatically to a credit card or checking account. )

The letter also included that the alleged theft mainly took place in the Bucktown facility. Wilshire included that he felt that many of his employees were “good and honest people.” Also in the letter, Wilshire added that he tried hard to take control of the situation and save the gyms; claimed that the regional general manager quit, leaving him understaffed and with the task of taking care of payroll; and that he was “forced to employ people I thought should be fired.”

“I had hoped to be able to run them long enough to reinstate the infrastructure. But the task was too great,” the letter stated.

The gym’s staff tackled Wilshire’s statements in the more recent lettter. “We would also like to take this opportunity to dispel any rumors or prior statements made regarding members’ credit or debit card information being compromised in any way,” the letter stated. “Any statements that were made in this regard were completely false. We want to assure you that all of this information is secure and safeguarded. The owner is no longer actively involved in the management.”

Those with questions and/or concerns are urged to contact Kristen at cheetah@cheetahgym.com .

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