Home

Posts Tagged ‘celebrity bankruptcy’

Wednesday, October 7th, 2009

Nebraska Football Star Filing Bankruptcy, Must Sell Rings, Trophy

Former Nebraska lineman Aaron Taylor is hoping to regain his NCAA championship rings and other memorabilia he surrendered after filing bankruptcy in an upcoming auction, according to a report by the Omaha World-Herald.

Taylor, who was part of three championship-winning teams in the 1990s, filed bankruptcy in Nebraska's western district last month, stemming from debt related to a restaurant he and other former NU stars opened in 2006.

As part of his chapter 7 filing, Taylor forfeited his three national championship rings, four district championship rings, and Outland Trophy. His petition listed assets of $5,300 and debts of about $110,000, according to the OWH article.

Because the value of the memorabilia is difficult for the bankruptcy trustee to determine, an auction is scheduled to take place Oct. 31 in Scottsbluff, NE, with proceeds going to pay Taylor's creditors. Taylor hopes that, with help from his parents and donations from fans, he will be the winning bidder for his college sports memorabilia.

Nebraska bankruptcy laws allow exemptions of up to $2,500 for "any personal property".

Tags: , ,
Posted in Bankruptcy News and Events, Financial Literacy | 4 Comments »

Tuesday, July 28th, 2009

Michael Vick’s NFL Reinstatement to be used in Bankruptcy Case

The sports world is abuzz with the recent announcement by NFL commissioner Roger Goodell that Michael Vick will be allowed to play professional football this fall.

The reinstatement is the latest in a long and winding series of events and fall from grace for the former Atlanta Falcons who was so popular his image graced the cover of video games.

Vick recently finished serving a 23-month prison sentence for charges related to the illegal dog-fighting operation he ran out of his house. Shortly after the charges were announced he was suspended indefinitely from the NFL by Goodell.

The reinstatment could have huge implications on Vick's bankruptcy plan. Vick filed bankruptcy on more than $20 million in debt. He lists $16 million in assets, but is trying to keep many of his assets.

In April, a judge rejected Vick's Chapter 11 bankruptcy. A chapter 11 is rare for individuals, but Vick's case is somewhat unique do to the size of his estate and debts, and his desire to retain property.

But the plan involved a $1 million payment to his creditors upfront, and that was cash Vick didn't have. He tried to auction off one of his homes, but no bids were made on the $3.2 million residence.

A new bankruptcy plan is built around his ability to once again earn big bucks in professional. Before his arrest, Vick was in the middle of a 10-year, $130 million contract.

But it's unlikely he'll be able to command those dollars again. Several teams, including his former team the Atlanta Falcons, have already said they aren't interested in signing the quarterback.

But there's still a good chance that one of NFL's 32 teams will take a chance on the former star, even though he hasn't played since the 2006 season.

Tags: ,
Posted in Bankruptcy News and Events | 1 Comment »

Friday, July 24th, 2009

Celebrity Bankruptcy: 5 Baseball Players Who Went Bankrupt

Money troubles come to the best of us.

Check out these MLB players who turned to filing bankruptcy when their money troubles caught up to them:

  1. Lenny Dykstra, former star center-fielder for the New York Mets and Philadelphia Phillies, filed for Chapter 11 bankruptcy protection this month. He has no more than $50,000 of assets and between $10 million and $50 million of liabilities.
  2. Bill Buckner, a former Red Sox player, went bankrupt in 2008 after his post-athletic career car dealership failed.
  3. Baseball Hall of Famer Gaylord Perry went bankrupt in 1987 after filing for Chapter 7 bankruptcy. Having played for an astounding eight different MLB teams over the course of his 35-year career, Perry’s post-MLB career farming endeavors failed in the mid-eighties.
  4. Pitcher and predicted Hall of Fame nominee Tony Gwynn filed bankruptcy in his sixth season in the league, citing back taxes of slightly over $1 million and poor investments, which he blamed mainly on his agent.
  5. Rollie Fingers, a Hall of Fame pitcher inducted in 1992, filed bankruptcy in 1989 after investments in pistachio farms, Arabian horses and wind turbines went awry. It’s said he owed more than $4 million and his assets were listed as less than $50,000. He was also involved in a tax scandal in 2007.

Tags: , , , , ,
Posted in Bankruptcy News and Events | No Comments »