Put a fork in Level 5 | Page 18 | FerrariChat

Put a fork in Level 5

Discussion in 'Other Racing' started by PCA Hack, Apr 4, 2012.

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  1. CornersWell

    CornersWell F1 Rookie

    Nov 24, 2004
    4,874
    It's a long, slow process to systematically go through these labyrinthine businesses and transactions. But, the Government is playing hardball...

    Of course, this is a LONG way off from a trial. And, when it does get there, there's always the possibility of an acquittal. Jury's are strange beasts.

    The screws keep tightening, and I'd imagine the ST is feeling very uncomfortable. Sooner or later, this will arrive at a conclusion, and I don't see how ST fares well out of it.

    CW
     
  2. Devilsolsi

    Devilsolsi F1 Veteran
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  3. Nuvolari

    Nuvolari F1 Veteran
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    WOW amazing stuff for sale there but the estimates are laughably low. Needless to say the fork is well and truly in Level 5
     
  4. the_stig

    the_stig F1 Rookie

    Sep 19, 2005
    3,477
    How the heck is all of this stuff NOT part of the seizure of Scott Tucker's assets and / or under lock and key due to the $1.3B he's been ordered to pay to the FTC?
    Does Kelly Moss have title to all this stuff and they've been able to convince the Feds that they are the rightful owners? Hard to imagine.
     
  5. Devilsolsi

    Devilsolsi F1 Veteran
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    Could the proceeds from the sale be going toward the settlement?
     
  6. Devilsolsi

    Devilsolsi F1 Veteran
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    I will take this Lola for $10K please!

    2011 Lola B1183 IMSA Racecar - Auburn Spring
     
  7. the_stig

    the_stig F1 Rookie

    Sep 19, 2005
    3,477
    They certainly could but that's not stated anywhere that I have seen and I'm left sort of hoping that the Feds haven't let all this "racing junk" slip through their fingers.
     
  8. Rifledriver

    Rifledriver Three Time F1 World Champ

    Apr 29, 2004
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    Brian Crall
    I'll say. Who came up with those numbers? It's like they are afraid they won't attract bidders.
     
  9. Kaivball

    Kaivball Three Time F1 World Champ
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    Jan 11, 2007
    35,997
    Kalifornia
  10. fatbillybob

    fatbillybob Two Time F1 World Champ
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    Aug 10, 2002
    26,294
    socal
    That is how they attract suckers...I mean bidders into the fray. Without lots of bidders they can't get a frenzy going and the auction stalls when clearer heads prevail.
     
  11. GuyIncognito

    GuyIncognito Nine Time F1 World Champ
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    Jun 30, 2007
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    does anyone know the results of the KVH IndyCar team auction? That could be a good indicator of how this is going to do.
     
  12. CornersWell

    CornersWell F1 Rookie

    Nov 24, 2004
    4,874
    I'm not an expert on asset seizures, but Level5 was a separate legal entity from AMG and Scott Tucker, the individual. Accordingly, unless there are improprieties at Level5 itself (or a failure to properly execute the incorporation documents such as the Articles, By Laws and so forth AND meet the necessary obligations to ensure corporate separation and limited liability), the assets themselves may not subject to seizure. It is likely, however, that Tucker's ownership in Level5 was seized, and, as a controlling shareholder, it's probable that the trustee/administrator appointed by the court can direct the sale of the assets (as a shareholder). And, upon the post-sale, winding-up of Level5, any distributions to the shareholders will go to satisfy the settlement.

    Depending, there may also be fraudulent conveyance laws that might allow the trustee/administrator to pull the assets themselves back into Tucker's estate. BUT, ultimately, these proceeds will likely (high probability) end up going into the pile recovered from an asset seizure.

    CW
     
  13. the_stig

    the_stig F1 Rookie

    Sep 19, 2005
    3,477
    As long as you understand it's a showcar only!
     
  14. Kaivball

    Kaivball Three Time F1 World Champ
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    Jan 11, 2007
    35,997
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    No engine?

    I guess that explains the low offer price...

    Kai
     
  15. the_stig

    the_stig F1 Rookie

    Sep 19, 2005
    3,477
    Not only no engine - which, btw, if you click through the pictures on the auction you'll clearly see a dirty great space where there's supposed to be one - but that's also a damaged tub - wrecked at Long Beach by Black Swan Racing.
     
  16. GuyIncognito

    GuyIncognito Nine Time F1 World Champ
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    and even if it didn't have a cracked tub, and did have an engine, all its good for is vintage racing. and I'm not sure if there are any spares available since Lola went out of business (is Multimatic making spares?)
     
  17. Devilsolsi

    Devilsolsi F1 Veteran
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    You could be the ultimate redneck if you just parked it on your lawn.
     
  18. Devilsolsi

    Devilsolsi F1 Veteran
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    Racer.com is reporting it as a court appointed sale
     
  19. CornersWell

    CornersWell F1 Rookie

    Nov 24, 2004
    4,874
    Many of these lots have been available for quite a while. They were listed on Level5's site. Then, they were being offered by Kelly Moss, which, I assume, is functioning as an agent in some capacity.

    It's a sad end...

    CW
     
  20. fatbillybob

    fatbillybob Two Time F1 World Champ
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    I want ST's 1/2 mill GT2 porsche that he won the Runoffs with for pennies on the dollar. Then I would go back to my friends at SCCA and beat up on them.
     
  21. Devilsolsi

    Devilsolsi F1 Veteran
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  22. F355Bob

    F355Bob Formula 3

    #447 F355Bob, Apr 14, 2017
    Last edited by a moderator: Sep 7, 2017
    I was just a KM today, they are rebuilding the motor in my F355. They had a TON of parts, LeMans cars, Ferrari Challenge cars that have been cleared out. It looked like they were still in the process of sorting out parts but most things of Tucker are gone.
    Image Unavailable, Please Login
     
  23. Ky1e

    Ky1e Formula 3

    Mar 4, 2011
    1,250
    FL
    I took a quick look and to my pretty untrained eye it looked primarily like a bunch of nice stuff that was once worth a lot but now is just outdated misc parts that is worth pennies on the dollar. The trailer and one or two of the cars had some good value, the rest was things like misc air filters, boxes of shocks, misc pile of brake ducting, etc..

    Yes each part is worth a lot to the right person who happens to need that specific part, but I dont see the value of buying a lot of carbon fiber brake air ducts for misc cars. Nice CF parts if you happen to need that one specific part for your specific car but I dont know who would pay much for the lot of it hoping to sell each part off one at a time over the next 5 years.
     
  24. Nuvolari

    Nuvolari F1 Veteran
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    I find it hard to call any of what happened to Level5 as being sad. For its entire existence EVERYONE in and around that team knew that the origins of the money that financed this smoke show was dodgy in the extreme. For sure a lot of racing was done, suppliers were paid, and people were employed but it was such a blatant house of cars that to ignore that for one second is to get wrapped up in the mirage.

    Sad is when something tragic or unexpected happens. In this instance the totally expected has played out and this auction will hopefully put some really cool equipment in the hands of more honest and lesser financed racers.
     
  25. CornersWell

    CornersWell F1 Rookie

    Nov 24, 2004
    4,874
    I don't think anyone at Level5 was charged or indicted. These guys were a racing operation and not abettors or lawyers. At some point they became aware that ST's funds were from payday lending and that indictments are not a good thing. Clearly, also, the funding slowed and then finally stopped. Again, however, they're not complicit, AFAIK, in any way other than having received funds from ST. And, what's their duty in this regard?

    Level5 was, at one time, possibly, the premier privateer entrant in ALMS. To see their ignominious end come about is indeed, nevertheless, sad. There will always be those cheering for failure, and I've seen enough flashes in the pan to know that guys that just show up with a bucket of money and spend lavishly are worthy of doubt.

    If you are suggesting that morally or ethically Level5 management, who basically worked for ST, had an obligation to turn his funds away because they came from something that is unsavory, I'm not sure I agree. Moreover, I think that would have been a tough position to operate an on-going team in. Maybe other outside funding could have been found, but the team surely concentrated on racing as opposed to making a moral and ethical choice. Frankly, I know only a few who would literally turn this opportunity down and/or walk away from the gravy train that was ST on moral or ethical grounds.

    Yes, sad end to Level5. Not sad for ST.

    CW
     

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