The bankruptcy case of Atlantic City's Revel Casino Hotel hit another pothole Friday when U.S. Bankruptcy Judge Gloria M. Burns declined to approve the sale of Revel to Florida developer Glenn Straub for $82 million.

Burns said from a Camden courtroom that it was not within her jurisdiction to approve the amended sale order because her January order approving the sale to Straub for $95.4 million was under appeal.

Burns said she saw two possibilities for the Revel, built for $2.4 billion, which closed in September.

One is that Straub could buy the property for $95.4 million without knowing if he would have to honor Revel's leases with nightclubs, restaurants, and retailers.

U.S. District Court will hear oral arguments May 8 in the appeal of Burns' Jan. 8 sale order, which allowed Straub to buy Revel free of obligations to its tenants.

Straub and his attorney, Stuart J. Moskovitz, could not be reached for comment.

"Alternatively, the debtors may file a motion to approve a new sale with a full hearing on the merits," Burns told lawyers during a teleconference Friday.

It's not clear what will happen next.

The next Revel hearing is scheduled for Monday, during which the judge will consider a motion by ACR Energy Partners L.L.C., Revel's utility supplier, to allow it to shut off Revel's power, and other matters.

Los Angeles developer Izek Shomof, who emerged as a potential buyer of Revel after Straub's previous deal was terminated Feb. 19, remains in the mix.

"We continue to negotiate with ACR and the bondholders to see if we can come to an agreeable compromise," Leo Pustilnikov, Shomof's partner, said.