More Trouble for Michael Jackson
Disgruntled former employee selling parts of entertainer's face (below) on eBay
Posted on 12/20/2005 5:15:12 AM PST by Rebelbase
LOS ANGELES - Michael Jackson's advisers scrambled to cut a deal yesterday to halt a $272 million foreclosure that would strip the pop star of his share of the Sony Beatles music catalog and, possibly, his cherished Neverland Ranch.
As the New York-based Fortress Investments Group prepared to seize the pop star's assets today to cover his unpaid debt, his advisers burned up phone lines pleading for a six-month extension, sources said.
"There are discussions underway to stop the foreclosure. An extension is likely to be granted," said a source familiar with Jackson's business woes.
The deal would involve "several" benefactors agreeing to make the monthly payments on Jackson's $272 million loan package at a whopping 9.5% interest rate - which comes to more than $2 million a month.
If a payment plan can be arranged, Fortress might be willing to hold onto the loans for six more months because the 9.5% rate would beat current stock market returns, the business source said.
Spokesmen for Fortress and Sony refused comment yesterday. Jackson attorney John Branca could not be reached for comment. Fortress bought Jackson's loans - one for $200 million, another for $70 million - from the Bank of America last spring after the singer defaulted on the smaller note and revamped his finances.
Jackson, 47, had failed to make payments to Fortress and was declared in default in October, the business source said.
The loans are secured by Jackson's 50% share of the $1 billion Sony-ATV music catalog, which includes rights to the Beatles tunes, and his 2,700-acre Neverland Ranch.
If Fortress forecloses, now or in the future, it can sell Jackson's assets to recover the debt.
Many observers think Fortress is likely to sell the music catalog first, which would likely fetch more than the amount Jackson owes. If that happened, Jackson might be able to keep Neverland because his debt to Fortress would be satisfied.
"It's all up in the air at this point," said the business source.
Jackson, who has been lying low on a visit to Dubai in the United Arab Emirates in recent weeks, has refused to speak to concerned family members who have reached out to him, sources said.
"Michael doesn't take their calls. His brother Randy has put together a proposal to resolve the financial mess, but he can't get past the nanny," said a family source.
Several frantic Jackson family members, worried about the singer's state of mind, were planning to head to Bahrain, where the pop star had been staying with that country's royal family since last summer, to stage an emergency "intervention." But they have put the plan on hold due to uncertainty about Jackson's whereabouts, a family source said.
Originally published on December 20, 2005
Here's a place RepoGirl could really enjoy her job........
"His brother Randy has put together a proposal to resolve the financial mess, but he can't get past the nanny,"
ROTF!
Whatever became of the mosque he was being linked to building and/or funding.
Who would want to buy that den of depravity?
Every time I read anything about this man I feel dirty afterwards.
More news on the financial woes of the Gloved One.
I'd be very happy if McCartney bought it back... on the cheap.
It was blasphemy to have it in the hands of The Pervert.
Trial Junkie Ping List Ping!!
I would love to see him completely ruined, totally broke, not a dime to to his name and unable to work unless Carnival Freakshows once again become popular
Isn't his "due date" coming up within days?
It sure is!
I don't think he "owns" enough of that catalog to get himself out of debt though; I'm sure somebody will be along to explain it all.
Maybe hugo chavez could purchase jackson's debts for the purpose of embarassing America
(see thread above)
I can understand why they would grant the extension, but at what risk? Are they guaranteed 6 months of payments?
Anyways, Jacko didn't leave the country just to get away from the families that he assaulted but I also think he is trying to distance himself from his financial obligations.
He's always talking about how he missed out on his childhood, that's why he is the way he is, so that sort of explains why he is so immature and irresponsible.
Well, having struggled all my life for every penny Mikey and his nose can take a hike for all I'm concerned!
I'm all broke up over this.....(hehehe)
Yep! Couldn't happen to a nicer (er, more deserving) guy!
Any company or organization that steps up to bail out this pedophile should be the recipient of the largest corporate boycott ever seen in U.S. History.
Pederasty is prevalent in the middle east and is not necessarily frowned upon. Yasser Arafat was a renowned pederast. He's there in the middle east where he can have his quarry served to him.
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