Zayat- in legal trouble again...

[dressagetraks]

I just recently reread Wild Ride, the story of the Calumet collapse in specific financial detail. There were even stallion shares sold/promised that were assigned to banks as collateral before being sold. And the loans upon loans upon looking for more loans to pay those loans. Well before the bankruptcy, the reader is shaking the head and thinking, A, How can Lundy et al be so financially blind?, and B, how can all these banks be so financially blind in letting Lundy et al continue to do this?

This whole story reminds me of that book. Only Calumet was in sterling, debt-free condition financially when Lundy took over. Sounds like Zayat has never in his life been in sterling, debt-free condition.

[ASB_Stars]

@dressagetraks

I just recently reread Wild Ride, the story of the Calumet collapse in specific financial detail. There were even stallion shares sold/promised that were assigned to banks as collateral before being sold. And the loans upon loans upon looking for more loans to pay those loans. Well before the bankruptcy, the reader is shaking the head and thinking, A, How can Lundy et al be so financially blind?, and B, how can all these banks be so financially blind in letting Lundy et al continue to do this?

This whole story reminds me of that book. Only Calumet was in sterling, debt-free condition financially when Lundy took over. Sounds like Zayat has never in his life been in sterling, debt-free condition.

Lundy and Zayat have alot in common, although I wonder whether Zayat would purposefully injure a horse? Of course, we do not know for sure that Lundy did just that to Alydar.

I was a HUGE Alydar fan. I really wanted him to beat Affirmed, but it didn’t happen. I have a nice shot of him galloping at Belmont that hangs in my dining room.

[ASB_Stars]

Here’s a shock- the Judge doesn’t agree with Zayat…

https://www.bloodhorse.com/horse-racing/articles/238362/judge-rules-for-continued-receivership-in-zayat-case

[ravenclaw]

I wonder if Baffert is one of the trainers he hasn’t paid.

[Davignport]

It is such a shame that he had to be the owner of the the first Triple Crown winner in 37 years. American Pharaoh, deserving of the honor. Zayat, not so much.

[Maythehorsebewithme]

Zayat seems to be not such a good guy, but I think he was a better owner of a triple crown winner than Justify’s (better for horse racing, I mean). At least we saw the horse run after the Belmont. And (again, just my opinion) I never believed in Justify’s sore ankle.)

[ASB_Stars]

Want a mare in foal to AP? You can buy her next week…and it looks like Zayat has not paid the little guys either…

https://www.bloodhorse.com/horse-racing/articles/238378/fasig-tipton-sale-next-chapter-in-zayat-case

[skydy]

What a mess.

[skydy]

Was the Pioneerof The Nile filly that just went through the sale one of Zayat’s?

[skydy]

Oh, probably not. I think his are selling now.

[Jenerationx]

I liked the mare that only went for $6k

[ASB_Stars]

Can someone please share what his go for- and who they are? Thanks very mucho!!

[skydy]

@ASB Stars

Can someone please share what his go for- and who they are? Thanks very mucho!!

All were consigned by St. George Sales and are toward the end of the sale. Hips 629-634 http://www.fasigtipton.com/2020/Kentucky-Winter-Mixed#/

[skydy]

@Jenerationx

I liked the mare that only went for $6k

I liked the Eskendereya mare that was RNA at 95K. and her little Paynter filly that no one bid on.

The mare in foal to A.P. sold for 310K

[ASB_Stars]

@skydy

I liked the Eskendereya mare that was RNA at 95K. and her little Paynter filly that no one bid on.

The mare in foal to A.P. sold for 310K

Aw…for the filly…

[skydy]

@ASB Stars

Aw…for the filly…

I know. I felt the same way. She was a little filly.

[LaurieB]

First phase of the Zayat dispersal (at the Fasig Tipton February sale) didn’t go so well.

Of particular interest during Tuesday’s session was the initial offering of mares tied to the liquidation of Zayat Stables, in the wake of a $23-million lawsuit by lender MGG Investments against owner Ahmed Zayat over allegations that his stable defaulted on a loan. The stable was placed under receivership, with a third-party manager taking the wheel on the operation’s day-to-day activities as it attempts to settle a long line of debt.

Prior to the lawsuit being filed by MGG Investments in January, Zayat’s representatives outlined a plan to the creditor on Dec. 12 to liquidate his equine assets, including horses of all ages and breeding rights. The document featured estimated values of each individual asset under favorable market conditions.

The six Zayat horses cataloged in the supplemental entries of the Kentucky Winter Mixed Sale were estimated to be worth a combined $1.9 million in that document. Four of the six changed hands in the ring on Tuesday for a combined $366,000, with one mare accounting for $310,000 of that total.

[ravenclaw]

No, that didn’t go so well. Can they force him to sell all of his horses?

[ASB_Stars]

@ravenclaw

No, that didn’t go so well. Can they force him to sell all of his horses?

It would appear so, for the moment. This could, and probably will, get very messy.

The “third party manager” must have selected these horses for their first foray into selling out. They may be trying to sell some privately- people like LaurieB, and Eventer AJ, who appear to be wired in, would have far greater knowledge of those machinations.

I would imagine Zayat is quite agitated at the public humiliation, and ultimate loss of his stables. I get that, but I am also sympathetic to all of the little guys who are struggling, and have not been paid.

What a mess!

[dressagetraks]

Coolmore, Hill and Dale, and several others have been added in as defendants regarding the assets transferred without clear title.

https://www.paulickreport.com/news/the-biz/amended-complaint-in-zayat-case-names-industry-heavyweights-who-bought-horses-breeding-rights/?fbclid=IwAR11Oq4ssGOBVAp9JuoPExcGuW00BvB6s-4qjvxh0HCw8U2vVItdE0nbUI0