Top Central Kentucky Horse Breeder Files for Bankruptcy

LEXINGTON, Ky. (AP) - A top thoroughbred breeder in Kentucky is
filing for bankruptcy protection, listing nearly 70 (m) million dollars in debts and more than 300 creditors.

ClassicStar L-L-C filed for Chapter eleven bankruptcy yesterday in Lexington. Many of its top creditors were investors who are suing the company.

Former investors have sued ClassicStar, ClassicStar Farms and parent company GeoStar in five states over its mare lease program. The lawsuits claim that ClassicStar improperly diverted investors' money.

Some complaints claim the company inflated the value of its mares, leased more mares than it owned and tried to substitute cutting horses for thoroughbreds.

James Gardner, an attorney representing ClassicStar, says the
company is seeking bankruptcy protection because of the pending
lawsuits. ClassicStar Farms L-L-C was not included as part of the
bankruptcy filing. Companies in Chapter eleven bankruptcy operate under court supervision.

(Copyright 2007 by The Associated Press. All Rights Reserved.)

AP-NY-09-15-07 1239EDT

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  • by cathy Location: peach on Apr 15, 2008 at 09:42 AM
    this is how the rich get richer. i have just recently came from a prominent horse farm in versailles. my husband was ultimatly fired for a injury he sustained on the job but his employer sent letters stating he was trafficking cocaine. they entered our residence. opened two workers comp checks demanding that we sign them over.we were kicked out with a two day notice.i have all documentation.this is how some live well and others not so well
  • by cathy Location: versailles on Apr 15, 2008 at 08:51 AM
    this comes as no surprise to me after coming from a prominent horse farm in versailles. after my husband was injured at work he was fired for what they say is illegal drug use. the owners of this horse farm went as far as entering the home we resided in, opening two of my husbands workers comp checks demanding that they be signed and having our family move in a few days notice. i also have three kids. this farm speaks so much of trust and honesty when they dont know what the word means.we have also tried but with no luck to obtain help to prosecute them. but as usual the rich get richer and will continue to due so


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