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BPS3akaWirels3
07-02-2010, 08:47 AM
Dermontti Dawson files for bankruptcy

Most of debt business-related

By Jennifer Hewlett - jhewlett@herald-leader.com (jhewlett@herald-leader.com)


Dermontti Dawson, a former University of Kentucky football standout who has been hailed as one of the greatest centers in National Football League history, filed for bankruptcy this week in U.S. Bankruptcy Court in Lexington.
According to documents included in his Chapter 7 bankruptcy filing, Dawson has assets totaling $1,417,891.27 and liabilities totaling $69,659,693.26. Dawson lists his monthly income as $17,972 and his monthly expenses as $19,635.18.
His debts, according to the documents, are primarily business-related. Many of the people and entities on a list of creditors included in Dawson's bankruptcy filing appear to be connected to real estate ventures in which Dawson has been involved.

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LEXINGTON HERALD-LEADER - Dermontti Dawson (63) talked to a Pittsburgh Steelers teammate before kickoff of a 1997 game against Cincinnati.

http://media.kentucky.com/smedia/2010/07/02/03/100702dawson.embedded.prod_affiliate.79.jpg (http://media.kentucky.com/smedia/2010/07/02/03/100702dawson.standalone.prod_affiliate.79.jpg)CHAR LES BERTRAM
LEXINGTON HERALD-LEADER - Dermontti Dawson, his wife Regina, son Brandon and daughter Briana, photographed outside a restaurant on the south side of Lexington, KY, Friday, February 4, 2005. They usually go out to eat as a family on Friday nights. Dermontti is a former pro football player. Charles Bertram/Staff






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http://media.kentucky.com/smedia/2007/07/24/17/923-PDF.icon.prod_affiliate.79.jpg Documents from Dermontti Dawson bankruptcy filing (http://media.kentucky.com/smedia/2010/07/01/20/Dawson_bankruptcy_documents.source.prod_affiliate. 79.pdf)





"Unfortunately, my personal guaranty exposure on the debts of numerous real estate interests has led to the Chapter 7 filing. Today's real estate market and economic conditions, plus the fact that I own non-controlling minority interests in the entities which own the real estate, left me with limited options. I certainly wish things had turned out differently and look forward to continuing my contributions to this community," Dawson said Thursday.
Some of several recent cases in Jessamine Circuit Court involving businesses in which Dawson has held an interest provide insight into money troubles Dawson and his business partners have been facing.
In April, a judge awarded a $3.4 million judgment for Kentucky Bank against five partners, including Dawson, in a corporation called Miles Road LLC, which developed single-family houses and duplexes on Nicholasville's east side. The bank filed a foreclosure action when Miles Road defaulted on a loan.
Also in April, Jessamine Circuit Court Hunter Daugherty awarded a $1.7 million judgment for Kentucky Bank against D&H Ashgrove #1 LLC, another development company in which Dawson has been a partner. The judge also awarded an $86,672 judgment against D&H in another case.
Two tracts totaling 30 acres on Ashgrove Road in northern Jessamine County, plus three lots in Brannon Crossing owned by D&H, are scheduled to be sold Saturday in a master commissioner's sale.
"I can't talk because I'm too involved with him; he's a friend and a neighbor," said developer Jim Hughes, who has been involved in several ventures with Dawson, including Miles Road and D&H. Dawson and Hughes, who have developed shopping centers across Central Kentucky, have been friends and business partners for several years. The co-developers of the Brannon Crossing Centre in Jessamine County also have worked together in charity-related organizations and events.
Among the assets that Dawson lists in the bankruptcy documents are a Rolex watch, valued at $4,250; his $10 interest in a mixed-breed dog belonging to his daughter; and his half-interest in a golf cart with a total value of $2,650.
Dawson's half-interest in household furniture at his Jessamine County home comes to $16,402.39. The items include a baby grand piano valued at $4,000. His half-interest in artwork that he and his wife own comes to $5,050. The artwork includes Audrey Menefee and Tabora Roy paintings.
Dawson also lists his interest in his mortgaged $1 million home in Nicholasville.
Dawson said he owes $15,990.59 on a Capital One credit card, $8,246.51 on a Meijer MasterCard and $8,405.87 on a Sears MasterCard, and has thousands more in credit card debt.
Dawson, a Lexington native and former football star at Bryan Station High School, played 13 years for the Pittsburgh Steelers, becoming the highest-paid offensive lineman in Steelers history at $4.2 million a year. He was named American Football Conference Lineman of the Year three times and was a seven-time Pro Bowl selection. He retired from pro football in 2001. He was a finalist for the Pro Football Hall of Fame in 2009 and 2010.
Dawson; his wife, Regina; and their two children, Brandon and Briana, moved back to the Lexington area about 15 years ago. Since then, Dermontti Dawson has been involved in charitable causes, including a foundation to help disadvantaged children, which he established. He also has served on the UK Board of Trustees.
In a 2006 talk with students at Lexington's Leestown Middle School, where he once was a student, Dawson told his young, inquisitive audience that he had televisions in his cars, his house measured 9,000 square feet, he was a millionaire and he drove a Hummer. He also imparted a vision for success that included the strength to resist peer pressure and the courage to ask a lot of questions.
"Don't stand for status quo, try to do over and above what people are asking you for," he said. "That's the only way you're going to make it in this world."

Herald-Leader reporter Greg Kocher contributed to this article.Reach Jennifer Hewlett at (859) 231-3308 or 1-800-950-6397, Ext. 3308.




Read more: http://www.kentucky.com/2010/07/02/1332938/dermontti-dawson-files-for-bankruptcy.html#ixzz0sX4zlDFg

steeldawg
07-02-2010, 08:54 AM
amazing how someone can earn 17,000 dollars a month and still cant cover their bills.

BlastFurnace
07-02-2010, 10:08 AM
I feel for guys like this. It's not just because he's a Steeler, but because he is a human being. Some people make bad investments or just aren't good at managing money. My best friend is the same way. It's a simple concept that is easy for some people and difficult for others. It's heartbreaking to see.

SMR
07-02-2010, 01:11 PM
Heart-wrenching. I've always loved Awesome Dawson.

steelerdude15
07-02-2010, 02:27 PM
I hope he works everything out.

Steely McSmash
07-02-2010, 05:13 PM
amazing how someone can earn 17,000 dollars a month and still cant cover their bills.

They're not really his bills. He made the mistake of some risky investments using his personal money as collateral. I'm guessing he won't do that again.

SteelCityMan786
07-02-2010, 05:43 PM
That's just heartbreaking. Hopefully he can get this mess straightened out soon.

solardave
07-02-2010, 06:25 PM
Brakes my heart. He is one of the nicest guys and a real community minded man. My grandson got his autograph and said you couldn't meet a nicer guy. I hope he gets back on his feet.

HometownGal
07-02-2010, 06:31 PM
I'm not going to duck inside that proverbial glass house and throw stones because I don't know all of the circumstances - the media has a way of twisting fact into fiction.

For the record - I think it's a travesty that athletes' personal financial difficulties are spread all over the news. It's no one else's business but theirs and their creditors imho.

Vincent
07-02-2010, 07:19 PM
I'm not going to duck inside that proverbial glass house and throw stones because I don't know all of the circumstances - the media has a way of twisting fact into fiction.

For the record - I think it's a travesty that athletes' personal financial difficulties are spread all over the news. It's no one else's business but theirs and their creditors imho.

This can happen to anybody more quickly than you can imagine.

ALLD
07-02-2010, 07:29 PM
Real estate has really crippled the economy. It is also no coincidence that petroleum is down, a little on demand and a lot on speculation. Potentially higher taxes are also putting a damper on growth. Are there any economic sociologists out there?

Part of my solution would be to allow another legal mass migration of other country's best citizens and make them our own. Here they can establish new businsses, create jobs and buy homes to raise families in peace. Dawson is just a function of current conditions, he probably had a sound financial plan for a growth economy instead of one in decline. Once the housing market is stablized and a few million jobs are created, then we can begin to dig ourselves out of this mess.

HometownGal
07-02-2010, 07:30 PM
This can happen to anybody more quickly than you can imagine.

I know. As a paralegal most of my life, I saw some very sad cases when I dabbled in bankruptcy law (which is boring as hell!). I also saw the opposite - people spending out their asses when they didn't have a pot to piss in or a window to throw it out. But nonetheless, I still feel it is a very private matter and not something to be plastered all over the news when involving a celebrity. JMHO.

Godfather
07-02-2010, 07:31 PM
I feel for guys like this. It's not just because he's a Steeler, but because he is a human being. Some people make bad investments or just aren't good at managing money. My best friend is the same way. It's a simple concept that is easy for some people and difficult for others. It's heartbreaking to see.

Yep...this isn't an idiot who wasted money on his entourage. He just got burned by some bad investments.

ALLD
07-02-2010, 07:31 PM
I'm not going to duck inside that proverbial glass house and throw stones because I don't know all of the circumstances - the media has a way of twisting fact into fiction.

For the record - I think it's a travesty that athletes' personal financial difficulties are spread all over the news. It's no one else's business but theirs and their creditors imho.



I remember when Reggie Roby, the Fins punter, declared bankruptcy in order to get out of an NFL contract.

HometownGal
07-02-2010, 07:53 PM
I remember when Reggie Roby, the Fins punter, declared bankruptcy in order to get out of an NFL contract.

I remember that as well. His case could be classfied as an "extreme".

MasterOfPuppets
07-02-2010, 08:12 PM
so according to dawson his annual income is about $ 215,000 a year ... i think i'll save my pity for the people trying to raise a family on $ 15,000 a year. although i do feel bad that he may have to part with his $ 4,000 dollar piano...

TatarMongol
07-02-2010, 11:00 PM
I wish him quick recovery.

Chidi29
07-02-2010, 11:29 PM
There's an agent who writes for the NFP who has written about this issue countless times. Players going broke is not uncommon. Mark Brunell just filed for bankruptcy. And I can only imagine the advice, or lack or, players got about handling their finances back in Dawson's day.

BPS3akaWirels3
07-02-2010, 11:38 PM
Look at all the NBA stars that are broke.. One of my favorites from the past Scottie Pippen is hurting...

tube517
07-03-2010, 01:47 AM
Very sad for Dirt. Our 2 best centers have had some serious bad luck.

Galax Steeler
07-03-2010, 06:14 AM
I hate to see anything like this happen and hopefully he can get it turned around instead of getting worse.

solardave
07-03-2010, 08:04 AM
so according to dawson his annual income is about $ 215,000 a year ... i think i'll save my pity for the people trying to raise a family on $ 15,000 a year. although i do feel bad that he may have to part with his $ 4,000 dollar piano...

Let's just set aside what he used that money for. He helped the community with a part of it. How big a part of it we don't know because they (the media as has been already said here)make him out to be a money grubbing SOB. Couldn't be further from the truth. I real sure he worked hard for all he got, but made bad financial decisions trusting the wrong people!