Just when you thought things couldn’t get much worse for Eagles Quarterback Michael Vick, well…..they did. Vick made national news when a dog fighting ring he participated in was broken up and he was sentenced to prison. Most recently, Vick’s out of state travel privileges were revoked by his parole officer after a shooting occurred at a night club where Vick’s birthday party was being held. Although Vick was not involved in the shooting, the incident seems to have cast a dark cloud over the embattled football star once again.
Now Vick’s bankruptcy trustee is after him, filing an adversary proceeding to recoup 2 million in cash and gifts Vick gave to family and friends prior to declaring chapter 11 bankruptcy. According to a story appearing on ESPN.com, a complaint filed in U.S. Bankruptcy Court in Newport News says Vick knew his lucrative career was in jeopardy and that he would be facing huge legal bills, yet he continued to shower friends and relatives with gifts and cash. Those assets, trustee Joseph J. Luzinski argues, should have gone to Vick’s creditors.
A bankruptcy trustee does have the power to claw back payments made to family members prior to a bankruptcy filing or transfers of property made with the intent of hiding those assets from creditors.