Lem Satterfield

Pacquaio being sued for $649.000?

In a move that was originally reported by FightHype.com, eight-division titleholder Manny Pacquiauo is reportedly being sued by VisionQwest Resources Group, a company he originally had hired to review his general finances and tax issues, but which he replaced last month.

Citing an obtained documentation of the lawsuit, TMZ.com reported the amount the WBO welterweight titleholder is being sued for to be at $649,016.95.

VisionQwest claims the money was loaned to Pacquiao, and that the fighter failed to pay it back. Pacquiao’s tax issues “seriously affected his ability to fight,” according to TMZ.com, again citing the report.

VisionQwest was replaced in a move that was originally reported last month by RingTV.com, when Pacquiao hired Los Angeles-based accounting firm Tanner, Mainstain, Blatt and Glynn to review his tax returns regarding refunds due and to audit the records of his promoter, Top Rank Inc., among other things, according to his adviser Michael Koncz.

Koncz gave this explanation as his rationale for replacing VisionQwest, which he said was hired two years ago:

“Approximately six months ago, at my insistence, an audit of Top Rank’s financial records pertaining to Manny’s bouts commenced. However, the group conducting the audit never provided a written report despite the fact that they spent four days in Top Rank’s offices,” said Koncz.

“Therefore, I have instructed our new accounting firm to conduct their own audit of Top Rank’s records, even though I do not think that there are any improprieties. I want to make certain that everything is transparent to Manny.”

The replacement for VisionQwest is a Westwood-based firm comprised of certified public accountants and specializes in “providing business management service to the entertainment and professional sports industries,” according to its website, and is ranked consistently among the top 50 such firms nationally and regionally by The Los Angeles Business Journal.

“This a large firm, I’ve verified that they’re all certified public accountants, and I’ve prioritized what they’ve been hired to do. The first priority is to contact the IRS, to inform the IRS that they’ve taken over Manny’s representation, and to facilitate whatever information they’re entitled to and that they need to continue the audit that’s been ongoing,” said Koncz at the time.

“The second priority is to review prior tax returns and to inquire of the IRS what the delay is in the refunds that are due to Manny. The third priority is to exercise our rights pursuant to our co-promotion contract with Top Rank and to review all financial records relating to Manny’s bouts.”

 

Lem Satterfield can be reached at lem.satterfield@gmail.com

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