It’s very simple indeed. They don’t call ex-billionaire Tim Blixseth a business mogul/money-maker for nothing. Homeboy’s figured out a way to make back all the money he lost due to his divorce from wife Edra Blixseth, and his subsequent bankruptcy. How? Why sue his creditors for billions, of course!
Specifically, brain-man Blixseth is suing one of his creditors, Credit Suisse, for “predatory lending.” Apparently Credit Suisse lent Blixseth some money $375 million back when he “owned” Yellowstone — that posh millionaire’s club in Montana he gave to ex-wife Edra as part of her divorce settlement (Yellowstone eventually wound up in chapter 11)– and when borrowing was easy and cheap.
But now, Blixseth’s biting the hand that fed him and he’s accusing the bank, I guess, of fraud and suing for billions. Says WSJ:
The loan caused a number of headaches in the posh Montana ski-and-golf resort’s Chapter 11 proceeding and has spurred litigation accusing the bank of loading up similar resort communities with debt it knew they couldn’t shoulder in order to pocket huge fees from the loans and ultimately nab the properties on the cheap. That was the allegation behind a $24 billion class-action lawsuit brought in January by a Yellowstone Club property owner in conjunction with property owners at other resorts, and it’ll be the driving force behind a lawsuit that club founder and former owner Tim Blixseth said he’s planning to file soon.
In an interview with Bankruptcy Beat, Blixseth said he’s planning to sue lender Credit Suisse over the same alleged predatory lending scheme laid out in the class-action suit, insofar as the scheme touched him and Yellowstone Club.
Blixseth’s lawyer, Michael J. Flynn, said the civil suit will bring claims that “are in the $1 billion-plus range” and will be filed in a U.S. district court in a matter of weeks.
Wow. Brilliant. If he wins this, quite simply, he’ll be a billionaire again instead of dead broke. He may even be able to buy Yellowstone back. That’s the thing about these billionaires. They are not like us. They know how to hustle. They know how to make a buck.