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Armstrong's financial situation

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OJ killed two people and still managed to live a lavish lifestyle in Florida.

It was only after he pulled the comical and ultimately decisive bonehead maneuver in Vegas that he ended up in prison.

Don't hold your breath, LA still has a broad enough cult and side deals... + most likely some offshore accounts to weather the storm.

He may suffer some significant (50 million+ damages) but won't care.

Just what is the difference between 25m and 100+ m. Not much.

As a socipath narcissist he'll just hang out with his cult of lovers and avoid us haters.

Basking in a self glorified delusion and pumping blonds.

Business as usual.
 
Jun 16, 2012
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BroDeal said:
Interesting but probably a decent defense could be made. Demand Media's business model is to commission articles based on search queries. They then use their massive footprint on the web to interlink articles to increase the article's page rank. If the search term is health related it gets placed under the Livestrong brand. Traffic comes mostly from people searching for phrases. The articles could be put under a different brand with little effect on the traffic numbers. Armstrong's implosion may have little effect on traffic to articles on livestrong.com.

Sure, but the focus in court would be entirely on what was in the IPO offering document. Say it described a planned business approach and detailed the ownership interests given to key folks expected to help develop that line of business. If anyone associated with the company knew an investigation was open but didn't disclose that in the offering document...not good. Variations abound. The $1000 an hour types can sort those out, including which really happened.
 

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MarkvW said:
The Sunday Times may very well have Armstrong by the short and curlies. My expectation is that he will settle promptly and he will give them all the money that they ask for. They could go hard on Armstrong and demand an apology.

What's Armstrong going to do? If he goes under oath he very much risks undergoing the Jeffrey Archer experience (you can look it up in Wikipedia, or you can read his book about prison). The bottom line is that for fear of perjury Lance can't lie under oath.

SCA is all about the settlement agreement and the circumstances surrounding its execution. Everybody (except SCA and Lance) is just guessing about that one.

For perjury (a criminal charge) to work, you have to have the false statement within the statute of limitations. Forget tolling. I don't think Armstrong's at any risk for perjury because he hasn't lied in the last five years (or whatever the SOL period is) under oath (AFAIK).

The severance agreements with Lance's sponsors for sure included liability releases. They're off the table.

I'll be interested to see how long Lance can milk the Livestrong thing for his own personal profit. My bet is that the Wall St. Journal (another Murdoch paper) is going to devote big resources to the Lance-Livestrong profit relationship. The blood is seriously in the water, because people love to read about the downfall of a former hero.

The question is not whether he will, but whether he has already.

If Armstrong signed a sworn affidavit on risk of perjury back in 2006 at the time of the libel proceedings it is possibly still within SOL - however, the Times are not saying "Pursue him for perjury" they are saying "Pursue him for fraud" - which makes me think they have no such clean cut option as perjury.

re "fair hearings" - the die is cast on this affair, and the whole proceeding smells which is why it must be changed: that lifetime doper Hincapie gets off scott free - ( who only by his own statement stopped in 2006) - Contador gets six months for a fail (despite Ashenden having evidence of transfusion plasticisers which the "rules" do not permit him to present as evidence, Riis may not be "as systemtatic" as Bruyneel but was certainly presiding over dirty teams (Hamilton says with his knowledge) but has to my knowledge kept his title and his job. In fact Basson for missing a single test now has a bigger penalty than most of htem.

This is not justice - it is Kangaroo courts presided over by banana republic dictators. It is a laughing stock, were it not so serious.

Time to put in a proper system where the country DAs are prosecutors investigators, only, the UCI is out completely and an independent court perhaps under CAS allows a defence, determines guilt (after hearing, not before) and hands down uniform sentences.

Living in spain should not give you an easy ride! And here is one person who does think Contador got off way too lightly. If "stripping of titles" as the last poster argued is punishment enough for our six month suspendees, then justice has to be uniform. It should be enough for Armstrong to ban for 2 years, not life.

After all...Hamilton and Ricco now have an 8 -10 year ban? when clearly - neither of them did anything the others did not!! Their crime it seems was getting caught.

As for the person who suggested I am supporting or in Armstrong's pocket , simply because I hold reasonable criticism of a clapped out irrelevant administration, that is sad. I used to respect this forum whilst watching from a far, more and more a lot of comments look to me like the ghoulish people who watched at guillotines and hangings.

I think the system sucks. I would love to see a class action against UCI by Hamilton, Landis and other victims, arguing that UCI deprived them of their careers by knowingly operating and supporting a system in defiance of the doping rules, hence putting riders in an impossible position. Under that regime, whether the riders walked away or doped, either way they lost their careers.

Sat where I am , UCI are the most guilty party. They could see what was happening, and far from even doing nothing, they actively sought to cover up, and ostracise anyone who revealed anything about the mess.

And that has got WORSE not better. The fact that Ashenden had he continued as expert witness would have been forced to be gagged for 8 years, proves they are still shooting messengers. Indeed Ashendens replacements are gagged, unable to say anything at all. Without Ashenden putting a lot of stuff in public domain (like the 1999) results - would Armstrong have ever been caught?

The one I find it hard to forgive is Armstrong, not because of doping - they all did it - but because of how he attacked the "little people". I do not criticise Kristin at all. She did not "choose" how the team behaved, and ultimately voted with her feet. She cannot be criticised for not "blowing it" out of the water with her children potentially victims too, and you had better believe that Armstrong will have gagged her completely in the divorce settlement. I bet she is afraid of him too..., and unlike the rest can never entirely get away as mother to his children.

I tire of listening to such as Greg le Mond however, trying to be "Holier than thou" - he was just lucky - nothing else to be born in an era when he did not face the choice to take EPO just to hang on the back of the peloton at a time when you could win grand tours (mainly) clean. He has my sympathy over the Trek affair and Armstrong bullying , but not on playing "whiter than white". It does not help.

The blame needs pointing far more squarely at UCI for operating this farce, and doing nothing about it - and they should be kept as far away from judging dopers as it is humanly possible. They should either disband or go back to promoting pro cyclings image (hah!!!) only...
 
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mountainrman said:
The question is not whether he will, but whether he has already.

If Armstrong signed a sworn affidavit on risk of perjury back in 2006 at the time of the libel proceedings it is possibly still within SOL - however, the Times are not saying "Pursue him for perjury" they are saying "Pursue him for fraud" - which makes me think they have no such clean cut option as perjury.

<snip ad nauseam continuation of pro LA rant>

Armstrong committed fraud in the Times defamation proceedings by obtaining a judgment in his favor (settlements in a UK court being deemed a judgment) through swearing an affidavit he knew was false on which the settlement was procured.

No SOL under these circumstances in UK law.

Ergo, obtaining a judgment or a settlement in a UK court through perjury is an act of fraud.
 

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Velodude said:
Armstrong committed fraud in the Times defamation proceedings by obtaining a judgment in his favor (settlements in a UK court being deemed a judgment) through swearing an affidavit he knew was false on which the settlement was procured.

No SOL under these circumstances in UK law.

Ergo, obtaining a judgment or a settlement in a UK court through perjury is an act of fraud.


Perhaps so, perhaps not. Go back through the history of the Likes of Jonathan Aitken, and Jeffrey Archer, and the action they faced and lost in similar situation was for perjury, not for fraud. So it seems their prosecution lawyers do not agree with you...

I have said repeatedly, that Armstrong faces potentially a more likely criminal liability here in UK because of the short SOL in the US on perjury rendering the 2005 hearings out of time.

As for suggesting "I support Armstrong" it seems you cannot read: I have said - I cannot forgive Armstrong for how he attacked the little people. But the fact that I am an enemy of your friend USADA (and the rough and inequitable justice meeted all these banana republic administrations) does not make me a friend of your enemy Armstrong. I think people should focus more of their ire against UCI for assisting the farce to continue, than they should against the riders who in many ways were a victim of it. The rule of law only works if most uphold it, and if those with the power to enforce it , do enforce it. The UCI have been consistent in one thing only. Shooting the messengers, and gagging truth tellers. Not heeding their message and acting on it. Omerta is as much a product of the UCI , as it is of doping riders.
 
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TubularBills said:
OJ killed two people and still managed to live a lavish lifestyle in Florida.

It was only after he pulled the comical and ultimately decisive bonehead maneuver in Vegas that he ended up in prison.

Don't hold your breath, LA still has a broad enough cult and side deals... + most likely some offshore accounts to weather the storm.

He may suffer some significant (50 million+ damages) but won't care.

Just what is the difference between 25m and 100+ m. Not much.

As a socipath narcissist he'll just hang out with his cult of lovers and avoid us haters.

Basking in a self glorified delusion and pumping blonds.

Business as usual.

He hates his cult lovers. A recent article recounted how he couldn't evenbe bothered to ride with them on a 3 hour bike ride. He rode of up the road and got into the bus and hid from them only exiting for a group photo before making a dash back to his bus!

He probably likes his haters more than those who think he is really a cancer jesus!
 
Sep 23, 2009
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MarkvW said:
The Sunday Times may very well have Armstrong by the short and curlies. My expectation is that he will settle promptly and he will give them all the money that they ask for. They could go hard on Armstrong and demand an apology.

What's Armstrong going to do? If he goes under oath he very much risks undergoing the Jeffrey Archer experience (you can look it up in Wikipedia, or you can read his book about prison). The bottom line is that for fear of perjury Lance can't lie under oath.

SCA is all about the settlement agreement and the circumstances surrounding its execution. Everybody (except SCA and Lance) is just guessing about that one.

For perjury (a criminal charge) to work, you have to have the false statement within the statute of limitations. Forget tolling. I don't think Armstrong's at any risk for perjury because he hasn't lied in the last five years (or whatever the SOL period is) under oath (AFAIK).

The severance agreements with Lance's sponsors for sure included liability releases. They're off the table.

I'll be interested to see how long Lance can milk the Livestrong thing for his own personal profit. My bet is that the Wall St. Journal (another Murdoch paper) is going to devote big resources to the Lance-Livestrong profit relationship. The blood is seriously in the water, because people love to read about the downfall of a former hero.



And was/is not the whole SKY team enterprise a successful attempt to gain leverage and guarantee that the pincer movement got to Lance before he could get to see the lobster boiling in the pot nobody should ever ****/spit in?
 
odelltrclan said:
Since we seem to have read a few things from lawyers or those with legal experience please clarify a few things. I have been reading people stating that the Statute of Limitations will prevent this or that from happening. However, I have read elsewhere things that seemingly disagree with some of these claims:

1. The statute of limitations do not exist in instances where fraud exist.

2. The statute of limitations BEGIN when the fraud or perjury are discovered, not when the "event" that later was found to be false was given.

USADA layed out in their arguments why the SOL does not apply. And given the history of and extent of Lance's coverups, etc., I have a hard time believing the SOL would apply in many of the cases being discussed given the above.

Your post works as far as civil lawsuits go.
If fails when it comes to criminal cases.
 
May 28, 2012
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DominicDecoco said:
Race Radio ‏@TheRaceRadio

ASO head Prudhomme says Armstrong must repay his prize money. About $3 million

This would be okay if Riis had paid back his prize money too. The 1997 Tour was outdated, but the 1999 not? :rolleyes: It's getting worse and worse ...
 
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Merckx index said:
He might transfer much of his wealth to places where it couldn't be touched, then plead bankruptcy. Are there limits to this? Could he make most of his current wealth, whatever it is, safe in this manner, and still access it following a bankruptcy judgment?

Bankruptcy judges don't put up with that kind of nonsense. They will never discharge debt if you have hidden assets.
 
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Sarcastic Wet Trout said:
Bankruptcy judges don't put up with that kind of nonsense. They will never discharge debt if you have hidden assets.

They wouldn't exactly be 'hidden' assets if the judges knew about them, would they? :p
 
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doolols said:
One other thing which occurred to me was what he's told his kids. Having imagined the conversation "Did you cheat daddy?" "Why, of course not." he would be unwilling to make a full confession in the face of showing his true colours to them.

If he can't even be honest with his kids in private, then he doesn't even deserve to be someone's father.
 
Dec 29, 2009
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mountainrman said:
]My comments do no not support armstrong, they challenge some of the more far fetched views expressed here in favour of more realistic. [/color] Perjury does indeed have a short SOL in the US depending on state or federal.

Expressing the facts that the lawsuits (other than unlikely sponsorship reclamation ) are unlikely to be a financially mortal blow - his houses are worth tens millinons between them, is not support. It is just not joining in with the wishful thinkers.

Also the sports legal system sucks and needs replacing bottom up, to avoid the arbitrary , random and inequitable treatment demonstrable. Why should hincapie or spanish be treated leniently better than basson who missed one test?. It is not justice of any description. When those who tell are given effective lifetime bans, ( take jaksche ir in running dwain chambers who cannot get races) where those who Are good and say nothing and so do not embarass authorities like twice banned sprinter Gatlin get to race around europe.

The system is sick, USADA should limit to being investigator prosecutor, and not publish evidence till after the fact. UCI should be sport promoter only to avoid the clear conflict if interests and say CAS extended to hearing all cases with proper judicial process before not after declaring guilt and sentence ( like USADA revealing any evidence it is aware of that does not support their case to the defence - eg how many riders did they interview in postal who said they saw nothing )

We may hate him but bruyneel is right. He can no longer get a fair hearing now selective subjudice evidence is in the public domain from USADA

it is set to get worse not better. UCI and WADA attempting to gag Michael Ashenden leading to him resigning would have prevented the question over 1999 dooing ever being made public now - without which the case may never have exploded. UCI must not be allowed to control thevflow of information.

in short tygarts kangaroo court and others in other countries need replacing. in short Spanish or UCI should not judge COntador, a third party must. Cycling will have no credibility until these petty banana republic dictatorships are consigned to the dustbin of history.

where we are at today is "farfetched" from where we were a year or two ago.
 
Bankruptcy means disclosure. After a bankruptcy petition, Lance has no more financial secrets. Lance does not want the world to know how much money he made from Livestrong. Bankruptcy is an extreme last resort for him.

There haven't been any signs of financial retrenchment, so a bankruptcy would be a real surprise.

It all depends on what Lance's reserves are.
 
Merckx index said:
But even if he could do this, he might not. He might transfer much of his wealth to places where it couldn't be touched, then plead bankruptcy. Are there limits to this? Could he make most of his current wealth, whatever it is, safe in this manner, and still access it following a bankruptcy judgment? And assuming he could afford all the lawsuits, would it make better sense to pay off then to have to worry about accessing hidden funds?

Hiding assets during bankruptcy is a crime. He could easily go to prison for it.

People like Armstrong usually go bankrupt from a combination of bad business investments, divorce, decreased earning power, and overspending. Armstrong has an additional risk factor of legal entaglements that could cost large amounts of money and even defending against such suits will be very expensive.

If Armstrong's business investments have done well then he won't have problems. He has been able to stick his fingers in a lot of pies. But some of what he owns may be ego driven money pits. Is something like Mellow Johnny's profitable?

Armstrong should not have problems with divorce. He should have a signed agreement with his current partner. The big issue could be child support, which would be substantial given his means.

His earning power from endorsements and giving speeches is gone. He could easily make mistakes trying to replace his income by investing in new businesses. That is what gets a lot of ex-athletes.

Armstrong has spent a lot of money over the years, so it is likely that he does not have the amount of assets that he is presumed to have. If he cannot dial back his expenses then he will have problems. Although it seems like common sense to no longer spend like the good old days, some people cannot help themselves. Someone who has a history of spending to impress is particularily vulnerable. Wasting $25K on a chartered private jet flght is probably no longer in his future.

Probably the most important thing for Armstrong financial positiion right now is how much debt he has. If his big toys, like multiple houses, are not owned free and clear then he has problems because his income may have been chopped down to a tiny fraction of what it was a few months ago. That is "may have been" because even though his sponsors all say they have dropped him that does not necessarily mean he won't get paid out the balance of his current contracts or part of them. If he starts selling stuff then it will indicate issues. This could be problematic because a lot of his real estate may have been acquired during the real estate bubble.

Whether Armstrong eventually goes bankrupt is probably a lot more dependent on his own actions rather than fallout from his doping. If he plays it smart then he will be okay, just not quite at the same lifestyle he grew accustomed to. Perhaps the thing that could topple his little empire is class action suits.
 
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BroDeal said:
Armstrong should not have problems with divorce. He should have a signed agreement with his current partner. The big issue could be child support, which would be substantial given his means.

I wondered about this, since this is a fairly unusual situation. As I understand it, the first child was conceived 'accidentally' because LA wasn't sterile as previously thought. Where does the responsibility lie for this 'oversight'? If LA had told Hansen that he couldn't get her pregnant, could he end up being responsible for her support as well as child support, since her position was changed my misinformation from LA?
 
BroDeal said:
If Armstrong's business investments have done well then he won't have problems. He has been able to stick his fingers in a lot of pies. But some of what he owns may be ego driven money pits. Is something like Mellow Johnny's profitable?

Not profitable enough to keep the legal bills paid. That's for sure. The economics of a bike shop/fashion outlet are miserable. The Honey Stinger thing is no gold mine either.

I'm looking forward to the slow-bleeding from the civil legal bills. Let's hope criminal legal bills become a part of the picture. Who knows how long Weisel will backstop preserving some kind of myth. Let's hope the bills are so extraordinary he's turned into a hermit!
 
DirtyWorks said:
Not profitable enough to keep the legal bills paid. That's for sure. The economics of a bike shop/fashion outlet are miserable. The Honey Stinger thing is no gold mine either.

I'm looking forward to the slow-bleeding from the civil legal bills. Let's hope criminal legal bills become a part of the picture. Who knows how long Weisel will backstop preserving some kind of myth. Let's hope the bills are so extraordinary he's turned into a hermit!

CSE promotes a lot of stuff.

My suspicion about Mellow Jonnny's is that it could be an ego driven money loser. It's like ex-athletes who open a bar or restaraunt or night club. There is a lot of potential to lose money. Maybe he opened it just to stick it to Andersatan.

He might be able to sell assets, settle all the civil stuff for $20M and then rebuild. If he and his business advisors are smart then five years could erase whatever hit he takes to his current assets. Ten years from now he could be considerably more wealthy than he is today.