Overview
- The official creditors’ committee representing three vendors asked the bankruptcy judge to grant standing to sue Johnson, Winners Alliance, and others for $25 million.
- The filing alleges Johnson authorized a $500,000 payment to himself on June 4, 2025 without board approval, days before the Los Angeles meet was canceled.
- The committee opposes Grand Slam Track’s plan that would repay “critical athletes” and select vendors about 85% while general unsecured vendors receive roughly 1.5%.
- Grand Slam Track and Winners Alliance filed rebuttals, with GST calling the $500,000 allegation false and describing it as reimbursement of advances, and Winners Alliance denying control and asserting good‑faith conduct.
- The league disclosed more than $40 million in debt and under $2 million in 2025 revenue; a court session is set for Thursday, and creditors have until April 9 to review and vote on the plan.