The Virginian-Pilot
©
NEWPORT NEWS
Michael Vick has agreed to pay more than $400,000 to settle U.S. Labor Department allegations that he pilfered his pension plan for unlawful purposes, including paying restitution in his federal dogfighting case.
While he was the star quarterback of the Atlanta Falcons, Vick established a marketing company, MV7 LLC, with a standard pension plan. The plan was intended to provide retirement benefits to nine employees of the company, most of them family members and friends.
A fter his April 2007 arrest in the dogfighting case, Vick and his associates made a series of "prohibited transfers" from the plan, the Labor Department said in court filings. The department sued Vick earlier this year in the Newport News federal court, charging that he illegally took more than $1 million from the pension plan.
Some of the money was paid toward Vick's $928,000 restitution judgment in the dogfighting case; other money was used to support his family and friends while he was in prison.
The settlement with the Labor Department had been announced during the bankruptcy proceedings, but specific details were not released until Wednesday.
Vick, who was released from prison earlier this year after serving 18 months for bankrolling the dogfighting ring, has agreed to repay $416,000 to the pension plan, plus an $83,000 penalty, according to the settlement.
Most of the money will come from deferred attorney fees related to Vick's bankruptcy case. A bankruptcy judge in August approved Vick's financial reorganization plan, which calls for his attorneys to defer payment of part of their fees.
According to testimony in the bankruptcy case, the pension fund still has about $300,000 in it.
In a related matter, a federal judge this week ordered one of Vick's former financial advisers, David A. Talbot, to repay the pension plan just less than $370,000. Talbot was accused in a similar civil action of illegally siphoning that money from the pension plan for his own benefit.
With all those repayments, the fund will be restored to near its original total of more than $1 million.
Vick is playing for the Philadelphia Eagles and will earn $1.6 million this season.
Tim McGlone, (757) 446-2343, tim.mcglone@pilotonline.com
Delicious
Digg
Reddit
Facebook
Twitter
Google
Yahoo
GOD FORGIVES
I understand the fact that michael vick ran a dog fighting ring. but time has passed and he did his time for his act. I think that the NFL a nd NIKE did a good thing by giving michael vick his chance back. I think that If God forgives people freely because we all know we have skeletons in our closet. Why can't humans forgive? It sounds like some of you just may need a little of Gods word the bible in your life. Who are you to judge?? You are not GOD.. I wich michael vick the best of luck in his career and pray that GOD keeps watch over him. Just a little reality check...
Nothing is simple around wealth
Tangled webs are woven around wealth; money attracts conivers and tempts wills.
Role model?
Considering Nike just resigned Vick, and according the "USA Today"..." "Vick's jersey is the NFL's fourth highest-selling since he returned to the league last month.""
He is the perfect role model for young people today? Let them know that as long as they are a good athelete, they can get away with just about anything!
Poor Pete Rose.....still not forgiven!
Vick's pension plan
Who were his employees ? Don't tell me they're the guys that rolled over on him when the heat was applied. If it is , those blood suckers should be charged with '' lack of intestinal fortitude '' The lawyers can really come up with charges unheard of in many other countries.
Yeah, because being a
Yeah, because being a dogfight running thug who doesn't roll over on the kingpin in prison is gangsta, yo! You would do the same thing to save your behind and you know it!
Vick is just a helluva guy. He setup a pension fund for his gangsta pals that ran his dogfighting club! What a fine, upstanding citizen! NOT!
I understand how you feel
I understand how you feel about the dog fighting and i know it was wrong. but the thug comment and yo phrase is a little racist dont you think. i mean you can express your opinion without using slang just because he is black and i actually met mike vick and he does not talk like that at all.
Am I the only one puzzled?
Why is the "Dept of Labor" involved in an individuals pension plan? How would the government be entitled to any fine or fee from Vick's pension plan? I don't like what Vick did anymore than the next person, but for crying out loud! he's more than paid his dues and has suffered enough to where I don't think you'll ever see him get in trouble again. Except maybe because of foolish people that keep kicking him for what he's already done time for. LET IT GO PEOPLE! He's paid more of a price than the majority of criminals that have done far worse than what he has done.
Vick did just not remove money from HIS pension plan.
He took money from nine EMPLOYEE's pensions. Money that was supposed to be set aside for THEIR retirement, not his.
That is why the Dept. of Labor is involved. He stole over one million dollars from his employees. With the 400 grand payback, he still spent over $600,000 of someone elses retirement money.
I can only shake my head and laugh when I hear arguments that Vick has reformed and he is a changed man. It boils down to (1) the people who want to see him play ball are unconcerned about his character, they just want to see him play, and (2) there are hundreds of millions of dollars to be made here, and a lot of people want a piece of that pie.
Let's be truthful. This is not about debts to society, character, or doing the right thing. It is all about the Benjamin's.
A little confused
He stole $1.3 million from his employee pension fund. Why is he only paying $400,000 ?
Sharpen up those playing skills, Vick
He'd better start concentrating on playing better than he did last week or else he's going to find it very hard to pay anyone else back. Between his reputation and his current playing skills, he's got himself in a difficult position.