Cash-Strapped Jacko Could Lose Neverland

King of Pop defaults on $23M loan and has 90 days to pay—or else
By Jonas Oransky,  Newser Staff
Posted Oct 26, 2007 2:10 PM CDT
Michael Jackson's Neverland ranch in Santa Barbara. The singer could lose his storied estate as he defaulted on a $23 million loan, and has 90 days to pay.   (Getty Images)
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(Newser) – Michael Jackson has defaulted on a $23 million loan against his storied Neverland Ranch, and he’ll lose the Santa Barbara fortress if he doesn’t pay in 90 days. The King of Pop is in his worst financial situation ever, says Fox News, and speculation is mounting that he’ll declare bankruptcy to limit the damage.

Jackson’s 50% interest in Sony’s music publishing company may be worth a whopping $600 million. But the news gets ugly for Elvis’ ex-son-in-law when you total the defaulted loan, a separate $300 million loan, several unpaid settlements, massive legal bills, and a pending $7 million lawsuit brought by the prince of Bahrain.