Well, lucky for us, none other than Lakewood's Rav Matisyahu Solomon explained to parents why he recommended closing of Yeshiva Bais HaTorah of Lakewood (see previous post here). Obviously this yeshiva is not the only one demonstrating an all too common trend of non-payment and debts. The answer was simple and logical:
The Mashgiach answered, that he was not approached by other Yeshivahs, and perhaps would have given similar advice, should they seek it.
The Mashgiach explained, parents of the Yeshivah tell TLS, that Yeshivahs without sustainable budgets, cannot continue without a way to pay Rabbeim, and he therefore recommended that Yeshivah Bais Hatorah close until a permanent solution can be found, and not have to rely on emergency meetings to balance the
There you have it. A Yeshiva must have a sustainable budget in order to pay staff. Where this is not the case, a Yeshiva must close until a real plan, not one reliant on miracles, is in place. Makes sense to me.