144000
Proud Member
an asset is no longer an asset if you sell it.
http://www.people.com/people/article/0,,20316292,00.html
INSIDE STORY: Nicolas Cage Blames Advisor for Financial Ruin
By Brenda Rodriguez
Originally posted Sunday November 01, 2009 08:00 AM EST
Nicolas Cage Photo by: Ray Tamarra / Getty
How could one of Hollywood's highest paid actors find himself owing $6.3 million in back taxes and deep in money troubles? The answer is, "Easy," if you believe Nicolas Cage.
In a lawsuit filed Oct. 16 in Los Angeles, the National Treasure star, 45, claims that his longtime business manager, Samuel J. Levin, "lined his [own] pockets with several million dollars in business management fees while sending Cage down a path toward financial ruin."
That journey began in 2001 when Cage – whose next movie is the crime drama Bad Lieutenant: Port of Call New Orleans – hired Levin to oversee his investments and finances. Levin did not return calls seeking comment. A rep for Cage had no comment.
On The Market
Though Cage claims it was only recently that he learned the gravity of his financial condition, the actor started selling off some of his prized possessions months ago. In April, Cage bid farewell to his Bavarian castle, selling it to his German advisor, lawyer Konrad Wilfurth.
Now, he has placed other homes on the market in California, Las Vegas and New Orleans, where two of his residences – each worth at about $3.5 million – are up for auction Nov. 12, according to the that city's Times-Picayune. Regions Bank foreclosed on Hancock Park Real Estate Co., the owner of Cage's properties, for $5.5 million in unpaid mortgage debts, the newspaper reported.
Tax Trouble
Cage's home liquidation comes as the U.S. government has placed a tax lien on his real-estate holdings because of $6 million in unpaid taxes dating from 2007, according to court papers. In addition, the Internal Revenue Service has another lien for more than $350,000 in unpaid taxes dating from 2002 to 2004.
East West Bank also filed a breach-of-contract complaint in Los Angeles Superior Court that claims Cage had failed to repay a $2 million loan that was extended this past August.
In the lawsuit filed against his business manager, Cage says he "relied on Levin to handle his financial affairs to ensure that he and his family would have a financially secure future built on the foundation of the substantial monies Cage earned through years of hard work."
"He is now forced to sell major assets and investments at a significant loss and is faced with huge tax liabilities because of Levin's incompetence, misrepresentations and recklessness," the lawsuit alleges.(Interestingly, Cage sold off his rare comic-book collection for more than $1.6 million in 2002, a year after hiring Levin.)
Now as the actor gets ready to hit the big screen again this fall, he faces "catastrophic losses" of more than $20 million, according to his lawsuit. His next court hearing is scheduled for February 2010.
............................................................
he should have invested in his art, like Michael.
Cage can blame no one, but himself.
he should have been cash poor, and paid his taxes and not sold his assets. if he put money in his movies he could have a revolving influx of money, and if he was not so willing to get his hands on quick cash, by liquidating, he would be alright.
http://www.people.com/people/article/0,,20316292,00.html
INSIDE STORY: Nicolas Cage Blames Advisor for Financial Ruin
By Brenda Rodriguez
Originally posted Sunday November 01, 2009 08:00 AM EST
Nicolas Cage Photo by: Ray Tamarra / Getty
How could one of Hollywood's highest paid actors find himself owing $6.3 million in back taxes and deep in money troubles? The answer is, "Easy," if you believe Nicolas Cage.
In a lawsuit filed Oct. 16 in Los Angeles, the National Treasure star, 45, claims that his longtime business manager, Samuel J. Levin, "lined his [own] pockets with several million dollars in business management fees while sending Cage down a path toward financial ruin."
That journey began in 2001 when Cage – whose next movie is the crime drama Bad Lieutenant: Port of Call New Orleans – hired Levin to oversee his investments and finances. Levin did not return calls seeking comment. A rep for Cage had no comment.
On The Market
Though Cage claims it was only recently that he learned the gravity of his financial condition, the actor started selling off some of his prized possessions months ago. In April, Cage bid farewell to his Bavarian castle, selling it to his German advisor, lawyer Konrad Wilfurth.
Now, he has placed other homes on the market in California, Las Vegas and New Orleans, where two of his residences – each worth at about $3.5 million – are up for auction Nov. 12, according to the that city's Times-Picayune. Regions Bank foreclosed on Hancock Park Real Estate Co., the owner of Cage's properties, for $5.5 million in unpaid mortgage debts, the newspaper reported.
Tax Trouble
Cage's home liquidation comes as the U.S. government has placed a tax lien on his real-estate holdings because of $6 million in unpaid taxes dating from 2007, according to court papers. In addition, the Internal Revenue Service has another lien for more than $350,000 in unpaid taxes dating from 2002 to 2004.
East West Bank also filed a breach-of-contract complaint in Los Angeles Superior Court that claims Cage had failed to repay a $2 million loan that was extended this past August.
In the lawsuit filed against his business manager, Cage says he "relied on Levin to handle his financial affairs to ensure that he and his family would have a financially secure future built on the foundation of the substantial monies Cage earned through years of hard work."
"He is now forced to sell major assets and investments at a significant loss and is faced with huge tax liabilities because of Levin's incompetence, misrepresentations and recklessness," the lawsuit alleges.(Interestingly, Cage sold off his rare comic-book collection for more than $1.6 million in 2002, a year after hiring Levin.)
Now as the actor gets ready to hit the big screen again this fall, he faces "catastrophic losses" of more than $20 million, according to his lawsuit. His next court hearing is scheduled for February 2010.
............................................................
he should have invested in his art, like Michael.
Cage can blame no one, but himself.
he should have been cash poor, and paid his taxes and not sold his assets. if he put money in his movies he could have a revolving influx of money, and if he was not so willing to get his hands on quick cash, by liquidating, he would be alright.
