Wednesday, February 03, 2010
Thoroughbred Racehorse Owner Files Bankruptcy
KENTUCKY....
In an effort to block a possible bank takeover of his 200-plus horse racing stable, North American thoroughbred racehorse owner Ahmed Zayat filed for Chapter 11 bankruptcy in Newark, N.J., on Wednesday. The filing states that he has between $10 million to $50 million in estimated liabilities, but Zayat says he has equal assets. The move came less than a week before a hearing in U.S. District Court in Lexington on a motion by Fifth Third Bank to appoint a receiver to take over Zayat's stable. Fifth Third has sued, alleging he owes them more than $34 million in defaulted loans. Zayat claims he has the support of the key players in the horse industry, including, without limitation, Keeneland Association Inc., an approximately $2.4 million secured creditor. A hearing is scheduled for 10:00 A.M. Friday in Newark on Zayat's motions to maintain his bank accounts and continue operations.
In an effort to block a possible bank takeover of his 200-plus horse racing stable, North American thoroughbred racehorse owner Ahmed Zayat filed for Chapter 11 bankruptcy in Newark, N.J., on Wednesday. The filing states that he has between $10 million to $50 million in estimated liabilities, but Zayat says he has equal assets. The move came less than a week before a hearing in U.S. District Court in Lexington on a motion by Fifth Third Bank to appoint a receiver to take over Zayat's stable. Fifth Third has sued, alleging he owes them more than $34 million in defaulted loans. Zayat claims he has the support of the key players in the horse industry, including, without limitation, Keeneland Association Inc., an approximately $2.4 million secured creditor. A hearing is scheduled for 10:00 A.M. Friday in Newark on Zayat's motions to maintain his bank accounts and continue operations.
# posted by Homer Owens @ 9:19 PM 
