Bankruptcy doesn't affect Betty's Pies flagship shop

A Lino Lakes woman involved in opening the first Twin Cities outpost of Betty's Pies and her husband have filed for personal bankruptcy.

The iconic Betty's Pies flagship outside Two Harbors overlooking Lake Superior will not be affected by last week's Chapter 7 filing by Martha Kay and Lawrence William Sieber. Another Betty's outlet, in Duluth, also will remain open.

The Siebers listed approximately $3.6 million in liabilities and $963,776 in assets in the U.S. District Court filing. A Chapter 7 filing permits a liquidation of assets under the U.S. Bankruptcy Code.

Martha Sieber and a co-partner, Carl Ehlenz, opened a Betty's Pies outlet in Mahtomedi in 2008, but the store closed late last year after a Washington County judge signed a motion forcing it to vacate the premises for nonpayment of rent. The store was in Wedgewood Village Shopping Center but struggled after several tenants left the center.

Peter Greenlee, a Duluth attorney representing the Siebers, said Monday that the two North Shore outlets will continue to operate despite the personal bankruptcy.

The original Betty's Cafe was opened in 1956 by Betty Lessard, and it continues to be known for its lemon angel pie and five-layer chocolate pies. Martha Sieber and Ehlenz bought the business in 1997.

JANET MOORE