In a paradoxical turn of events, the author of the bestselling financial help book “Rich Dad Poor Dad,” Robert Kiyosaki, has filed for bankruptcy. This happened after one of his companies lost a $24-million court judgment, according to a report from the New York Post.
“Kiyosaki’s Rich Global LLC filed for bankruptcy after being ordered to pay nearly $24 million to the Learning Annex and its founder and chairman, Bill Zanker,” the report said.
“US district judge Shira A. Scheindlin in April ordered Rich Global to pay up $23,687,957.21 after a jury ruled Kiyosaki must give the Learning Annex a percentage of his profits after using their platform for speaking engagements, including a 2002 gig at Madison Square Garden,” it added.
“Kiyosaki’s Rich Global LLC filed for bankruptcy after being ordered to pay nearly $24 million to the Learning Annex and its founder and chairman, Bill Zanker,” the report said.
“US district judge Shira A. Scheindlin in April ordered Rich Global to pay up $23,687,957.21 after a jury ruled Kiyosaki must give the Learning Annex a percentage of his profits after using their platform for speaking engagements, including a 2002 gig at Madison Square Garden,” it added.
Ostensibly based on his life, Kiyosaki’s “Rich Dad Poor Dad” book was published in 1994, and was followed by11 others.
The New York Post report quoted Mike Sullivan, chief executive officer of Kiyosaki’s Rich Dad Co., as saying: “The dealings we had with Learning Annex were with a company that hasn’t been in business for a number of years… I am not surprised Learning Annex is upset and angry, the money doesn’t exist in that company, and we can’t bring money out of the group.
“Robert and [wife] Kim are not paying out of personal assets. We have a few million dollars in his company, but not 16 or 20. I can’t do anything about a $20-million judgment… We got hit for what we think is a completely outlandish figure.”
Robert Kyosaki…..
Robert Kyosaki…..
But according to Forbes.com maybe Robert Kyosaki is offering his fans yet another lesson in how the rich are different from you and me: they file for bankruptcy not because of ill-health or unemployment related issues, but instead as a strategic business move. The Learning Annex was one of Kiyosaki’s earliest backers, and helped arrange a number of his most prominent speaking gigs in the early aughts. They were not alone. Oprah Winfrey had him on her show, and PBS ran his programming during their fundraising weeks.
So how did Kiyosaki, whom the website Celebrity Net Worth estimates is worth a cool $80 million, come to this pass?
Well, he didn’t come to any pass. He now conducts much of his business not via Rich Global LLC but under the rubrik Rich Dad Co. And it’s a corporate bankruptcy, not a personal bankruptcy. When the New York Post, which broke the story, tracked down Mike Sullivan, Rich Dad Co. CEO, he informed them that Kiyosaki would not be putting any of his personal fortune toward the settlement. As for Rich Global, Sullivan claimed it only had a few million in its coffers.
But according to Forbes.com maybe Robert Kyosaki is offering his fans yet another lesson in how the rich are different from you and me: they file for bankruptcy not because of ill-health or unemployment related issues, but instead as a strategic business move. The Learning Annex was one of Kiyosaki’s earliest backers, and helped arrange a number of his most prominent speaking gigs in the early aughts. They were not alone. Oprah Winfrey had him on her show, and PBS ran his programming during their fundraising weeks.
So how did Kiyosaki, whom the website Celebrity Net Worth estimates is worth a cool $80 million, come to this pass?
Well, he didn’t come to any pass. He now conducts much of his business not via Rich Global LLC but under the rubrik Rich Dad Co. And it’s a corporate bankruptcy, not a personal bankruptcy. When the New York Post, which broke the story, tracked down Mike Sullivan, Rich Dad Co. CEO, he informed them that Kiyosaki would not be putting any of his personal fortune toward the settlement. As for Rich Global, Sullivan claimed it only had a few million in its coffers.
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