Creditors object to Vick finance statement

By LARRY O'DELL

RICHMOND

Major creditors in Michael Vick's bankruptcy case have objected to his disclosure statement, arguing that it lacks sufficient detail about his finances and prospects of returning to the NFL.

A committee of creditors, including the Atlanta Falcons, filed the objection Tuesday in U.S. Bankruptcy Court in Newport News, Va. A hearing on whether the disclosure statement should be approved is scheduled for next Tuesday.

Vick, once the highest-paid NFL star and among its most popular, is currently earning 12 cents an hour at the federal penitentiary in Leavenworth, Kan., where he is serving a 23-month term for bankrolling a dogfighting ring. He filed for federal bankruptcy protection in July, claiming assets of $16 million and liabilities of $20.4 million.

A disclosure statement submitted in the case last month listed real estate holdings, luxury cars and boats, business interests, bank accounts and expenses to support a large extended family.

It also showed millions in unexplained cash withdrawals and transfers over the last two years. For example, the creditors said in their objection that Vick's papers list about $1.1 million in transfers authorized by a former associate, about $1 million marked as "cash out miscellaneous" and nearly $2.3 million in transfers between Vick accounts.

"With such large sums of the Debtor's money unaccounted for, it would be impossible for the Debtor's disclosure statement to contain 'adequate information' regarding his finances," the creditors wrote.

Without better information, the creditors say, it's impossible to determine whether they should vote for or against the suspended player's Chapter 11 reorganization plan. A plan confirmation hearing is set for Jan. 15.

Vick's disclosure statement also says he "has every reason to believe that upon his release, he will be reinstated into the NFL, resume his career and be able to earn a substantial living." Vick's plan for paying his debts is premised on his return to pro football, but the creditors say they need more assurance.

"At a minimum, the Debtor should be required to disclose information sufficient to assess whether his intention to continue with his chosen profession is realistic," the creditors wrote.

In addition to the Falcons, the creditors committee consists of Royal Bank of Canada, Wachovia Bank, 1st Source Bank and Radtke Sports. A fifth major creditor, Joel Enterprises Inc., filed its own objection to the disclosure statement.

Vick's bankruptcy attorney, Paul Campsen, did not immediately return a phone message seeking comment.

Vick is scheduled to be released from federal custody around July 20.

On Nov. 25, the former quarterback pleaded guilty to a state dogfighting charge and was given a three-year suspended sentence. The prosecutor dropped an animal cruelty count as part of a plea agreement.