Published: June 26, 2004
Mike Tyson will not only have to fork over the $14 million dollar lawsuit settlement from Don King to pay his debts, he has to fight seven times.
Tyson has to pay $38.4 million Tyson owes to various creditors, the Internal Revenue Service and his ex-wife, Monica. Tyson’s attorneys have laid out a plan in federal bankruptcy court in New York under which Tyson will fight seven times over the next three years.
According to the plan filed Thursday in bankruptcy court in New York, Tyson will contribute the $14 million from King, an estimated $4.2 million from the sale of his two houses in Las Vegas, and $19.5 million from future fight purses to a fund to pay creditors.
Tyson’s first contribution will be a $2.475 million payment on Aug. 4, followed by a $2.31 million payment next Jan. 5. The biggest payment from the proposed series of seven fights will be in January 2006 when Tyson pays $4.95 million.
The IRS is Tyson’s biggest creditor, owed $18 million by the former champion. He also owes taxes in several different states, including $834,000 in Tennessee for his 2002 fight there against Lennox Lewis.
Under the plan, Tyson will also pay Monica Tyson $9 million, beginning with a $2.3 million payment when King makes his first payment. Monica Tyson will also get $750,000 from each Tyson fight.
Tyson also owes millions to unsecured creditors, who will be paid negotiated settlements totaling an estimated $10 million.
Should Tyson defeat Danny Williams on July 30th, he could fight again as soon as the fall. The two opponents being thrown around are light heavyweight champion Antonio Tarver or WBO champ Lamon Brewster.
“He wants to put the past behind him and believes he can be champion again,” Tyson’s manager, Shelly Finkel said. “And that would be a great story.”
By Rick Reeno