The owner of the Carolina Hurricanes is getting sued by his own sons.
Peter Karmanos, who has owned the Hurricanes since they moved from Hartford, is being sued by his three sons for over $100 million, Rod Meloni of WDIV-TV Detroit reports. According to the report, Karmanos borrowed millions of dollars from trusts that were promised to his three sons, who filed a lawsuit against their dad. The lawsuit alleges Karmanos used the borrowed money to take out a loan to fund the Carolina Hurricanes, which carries interest until 2022.
The sons claim their father “failed to timely cure such defaults and accordingly, on or about May 25, 2016 the entire balance of the June 2013 note … more than $105 million … would become immediately due and payable.”
As WDIV-TV notes, you have to wonder about Karmanos’ financial situation if he used trust money to get loans and failed to repay them. Karmanos has been trying to sell the Hurricanes over recent months but has remained adamant that the team stay in Carolina and not moved to a potentially bigger hockey market like Quebec. It’s clear he’s passionate about keeping hockey in Carolina, but being financially irresponsible to keep the team afloat doesn’t seem like the best decision on his part.
If his financial situation is dire, he might be forced to sell the team to offset money owed – but that’s my own speculation. This lawsuit is going to get messy. If Karmanos did use trusts promised to his sons to fund the Hurricanes, then his passion became foolishness.
[WDIV-TV]
