Post by Lithfan on Feb 6, 2016 7:49:15 GMT -5
February 6, 1963
The New York Titans file for bankruptcy protection under Chapter 11 of the Bankruptcy code. At the time, Harry Wismer, principal owner and team president, listed the team’s assets at $271,999 and their liabilities at $1,341,000.
During the 1962 season, the AFL had to take over the team’s payroll in order to ensure that players were paid and that the Titans were able to put a team on the field. Under the direction of AFL Commissioner Joe Foss, Wismer attempted to sell the team in 1962, but was unable to find a suitable buyer.
The Chapter 11 declaration was a pre-emptive strike by Wismer, looking to the courts to prevent the league from taking control of the team. Under Chapter 11, if the filing was approved, Wismer and the Titans would be given protection from creditors while attempting to reorganize the finances of the team.
Wismer contended that the long term prospects of his team were good, given recent television and radio contracts that the team had signed, but the key to his re-organization plan was a move to a new stadium being built in Flushing Meadow Park.
In an affidavit accompanying the Titan’s petition, Wismer claimed,
“Moreover the outlook for the debtor is considerably brightened by the fact that it has obtained a commitment for the use of the new Flushing Meadow Park Municipal Stadium on the World’s Fair site which will be ready for use and occupancy by it for the forthcoming football season. The debtor’s difficulty arose in large part from the fact that the former facilities used by it, to wit: the Polo Grounds here in New York City were inadequate and wholly unsatisfactory in its facilities for the reason, amongst others, that there was no parking available for spectators who wished to attend the weekly League games. Moreover, the prior difficulty can be ascribed in part to the fact that the League and debtor’s team were both in their infancy and suffering growing pains and the early years most necessarily have been devoted to develop an interest and enthusiasm for the League and the team. As hereinabove stated, these problems will be substantially overcome by the prospect of the availability of the Flushing Meadow Park Municipal Stadium with a seating capacity for 60,000 and parking facilities for 10,000 cars.”
Wismer’s argument did not sway the courts. On February 17, the petition was denied, leaving the door open for Foss and the League to take control of the Titans. By the end of March, the League would oversee the sale of the Titans to a 5 man consortium led by Sonny Werblin.
Source: The Schenectady Gazette & profootballresearchers.org
The New York Titans file for bankruptcy protection under Chapter 11 of the Bankruptcy code. At the time, Harry Wismer, principal owner and team president, listed the team’s assets at $271,999 and their liabilities at $1,341,000.
During the 1962 season, the AFL had to take over the team’s payroll in order to ensure that players were paid and that the Titans were able to put a team on the field. Under the direction of AFL Commissioner Joe Foss, Wismer attempted to sell the team in 1962, but was unable to find a suitable buyer.
The Chapter 11 declaration was a pre-emptive strike by Wismer, looking to the courts to prevent the league from taking control of the team. Under Chapter 11, if the filing was approved, Wismer and the Titans would be given protection from creditors while attempting to reorganize the finances of the team.
Wismer contended that the long term prospects of his team were good, given recent television and radio contracts that the team had signed, but the key to his re-organization plan was a move to a new stadium being built in Flushing Meadow Park.
In an affidavit accompanying the Titan’s petition, Wismer claimed,
“Moreover the outlook for the debtor is considerably brightened by the fact that it has obtained a commitment for the use of the new Flushing Meadow Park Municipal Stadium on the World’s Fair site which will be ready for use and occupancy by it for the forthcoming football season. The debtor’s difficulty arose in large part from the fact that the former facilities used by it, to wit: the Polo Grounds here in New York City were inadequate and wholly unsatisfactory in its facilities for the reason, amongst others, that there was no parking available for spectators who wished to attend the weekly League games. Moreover, the prior difficulty can be ascribed in part to the fact that the League and debtor’s team were both in their infancy and suffering growing pains and the early years most necessarily have been devoted to develop an interest and enthusiasm for the League and the team. As hereinabove stated, these problems will be substantially overcome by the prospect of the availability of the Flushing Meadow Park Municipal Stadium with a seating capacity for 60,000 and parking facilities for 10,000 cars.”
Wismer’s argument did not sway the courts. On February 17, the petition was denied, leaving the door open for Foss and the League to take control of the Titans. By the end of March, the League would oversee the sale of the Titans to a 5 man consortium led by Sonny Werblin.
Source: The Schenectady Gazette & profootballresearchers.org