Event Date: January 30th, 1987
Event Description: Creditors File Suit
Source: UPI
Dozens of companies and former employees owed money by the defunct Los Angeles Express of the U.S. Football League filed a $25 million fraud suit Thursday against the team and the league.
The creditors claim in their federal court suit the USFL and Commissioner Harry Usher used the dwindling assets of the dying team to “maintain a front” that the team was operating normally during the past few seasons.
The creditors include travel agencies, hotels, bus companies, medical-supply firms, plus the team's publicist, secretaries and the band that played at home games. The employees claim they were not paid for several months before the team shut down.
The plaintiffs' attorney, James Davis, said precise loss figures are still being compiled, but the total probably would exceed $1 million.
The suit also seeks $25 million in punitive damages.
Story-(UPI Modified)
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