Michael Jackson could be on the verge of losing his palatial Neverland Ranch,
according to reports.
The King of Pop could lose the keys to his kingdom, if he does not make the
necessary payments on his loan.
On October 22, Jackson reportedly received a notice of default on his $23
million dollar loan after failing to make payments, according to a report by KSBY TV.
Santa Barbara County, where Michael’s 27,000-acre ranch is located, is not
cutting the singer any celebrity slack.
Wendy Baker, a Santa Barbara Loan Consultant, told KSBY-TV, “Even though he’s
Michael Jackson he’s a regular human being, the county’s not going to go out of
their way to do something special for him or give him any special pervailances
because he is who he is.”
If Jackson is unable to make the required payment within 90 days, “He might
have some serious tax ramifications absolutely other than having a foreclosure
on his credit report and trying to borrow money,” says Baker.
There is speculation the “King of Pop” might financially pop, by declaring
bankruptcy.
According to reports, Baker says with new bankruptcy laws this would not be
the best decision for the singer.
Jackson is reportedly currently living in Washington, D.C., in a rented
home.
On Thursday evening, Jackson’s publicist released the following statement to
Access Hollywood.
“In 2006, Mr. Jackson’s former advisors refinanced Neverland Valley Ranch
through Fortress Investment Group, LLC. The loan matured in October, 2007.
Contrary to published reports, Mr. Jackson was never in default of the loan. Mr.
Jackson is in the final stages of refinance and will not lose Neverland Valley
Ranch. No further comments will be made regarding this subject as it has been
our long term policy not to address Mr. Jackson’s personal financial
affairs.”
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