Earlier this month, we told you about Wayne Newton abandoning his plane at a Detroit-area airport after leaving it there for work over three years ago and then failing to pay for its storage, owing a total of about $30,000.
And now to make matters worse, Mr. Las Vegas is facing foreclosure!
Newton’s former friend, Las Vegas Motor Speedway executive O. Bruton Smith, is suing the performer for a delinquent loan on $3.35 MILLION!
According to the suit, back in March 2006 Newton asked Smith to help guarantee a $3.75 million loan from Bank of America, which was later was modified to a $3.35 million loan.
Newton wanted to refinance some existing debt and used his 38-acre ranch and a $2 million private jet to secure the loan.
However, the loan needed to be repaid by May 30, 2009, but the Newtons didn’t live up to their end. And according to the suit:
“Defendant Newton informed plaintiff Smith that he considered Smith’s personal guaranty of the loan as a formality and that the Newtons and Desert Eagle would sell personal assets to pay off the loan before allowing B of A to pursue Smith for repayment of the loan.”
So Smith then purchased the loan from BoA last October and then in November sent notice to Newton to repay him.
The suit claims at the time of the loan, Newton knew he wouldn’t be able to repay it even with his assets, so Smith is claiming intentional fraud.
The Tropicana better give him a pay raise or he needs to find a second job. But pay up!
[Image via Digital Creations / WENN.]