Fey At Bankrupcy Court

Barry Fey went to court on June 13 to face a batch of creditors in his first court hearing since filing for Chapter 11 bankruptcy protection on May 24 (CelebrityAccess, May 14). The opposition attorneys questioned him about the value of some of his assets: his luxury cars, three Denver mansions, artwork and multiple
collections of signed rock star memorabilia, including 22 electric guitars. He also was grilled about his collection of art, which includes a Mick Jagger oil portrait by Andy Warhol, and three paintings by the late American Indian Earl Biss, which had not yet been appraised. In court documents, Fey has assigned an estimated $1.5
million value on his "art and unique music collectibles," but under testimony, he
suggested that was a conservative figure and that $2.75 million was a
better estimate.

"You know what they are really worth?" Fey said about his guitars
signed
by the likes of Eric Clapton, Bruce Springsteen, Van Halen and band
members from the Eagles, Rolling Stones, U2 and Fleetwood Mac, in the Rocky Mountain News.
"Whatever somebody is willing to pay for them."

Not including his leased Lexus, Fey said he has two luxury cars
with a combined value of $140,000. A 1980 Mercedes Benz that Fey's
attorney described as "one of a kind" was appraised at more than
$120,000 six years ago. He estimated his 35 percent stake in a racehorse called Denver Dream is
worth $22,500.


On
May 24, Fey listed with the Denver bankruptcy court total personal
assets
of $9.2 million and nearly $4.7 million in liabilities. At the hearing, he verified his $29,000 monthly salary as the
Colorado
director of House of Blues Concerts, a position he is guaranteed for
the
next two years.

Fey has mortgages on his three homes, with a combined
appraised value of $5.9 million and has put
the
two most expensive residences up for sale: his family house for $3.65 million and another for $1.65 million.

Each of the homes has multiple mortgages. Fey said a second
high-interest $375,000 loan held by Denver investment company Rapid
Funding LLC is ultimately what pushed him into bankruptcy court. Fey
said Rapid Lending wasn't interested in negotiating a repayment plan
without the court's supervision.

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