How Michael Jackson blew $500m fortune on cars, houses and zoo animals and died broke
Despite his multi-million pound song catalogue, Michael Jackson was in a staggering amount of debt when he died in 2009 after having burned through his fortune on a host of extravagant purchases
Michael Jackson died in a staggering amount of debt with his abandoned Neverland Ranch serving as a haunting reminder of his extravagant pop star past.
The King of Pop moved out of the infamous estate four years before his death in 2009 and vowed never to set foot in the place again after being cleared of child molestation charges.
On leaving his fantasy land behind, Jackson downsized to a rented mansion in the Holmby Hills area of Los Angeles where he spent his final days before dying from an overdose of surgical anesthetic Propofol.
It was during the star’s wrongful death trial, that his ‘precarious’ finances were laid bare by experts.
The news had been surprising for fans, given that Jackson had been in showbiz since the age of six and at the top of his game for decades after.
As well as selling out numerous worldwide tours and notable endorsement deals, Jackson was also the owner of a mutli million pound music catalogue -that included his own work and that of artists such as The Beatles – but incredibly, the wealth he was bringing in with royalties was said to have been nothing compared to the incredible amount of debt he was racking up.
A forensic account asked to speak at the 2013 trial, revealed that Jacko blew his fortune on gifts, travel, art, zoo animals, jewellery and furniture – as well as making huge donations to numerous charities.
William R Ackerman described Jackson as being in a ‘precarious financial position’ as he spoke to the Los Angeles courtroom about the singer’s money woes in defence of AEG Live in the wrongful-death trial.
While MJ was renowned for splashing the cash on material goods, Ackerman said that by far Jackson’s biggest and most consistent expenditure when he was alive was the interest he paid on his debt.
The LA Times reported that Jackson was handing over $30million in annual payments on his debt when he died in 2009.
Accountant Ackerman said that as far back as 1993, Jackson owed $30million which grew to $140million by 1998.
When he died in 2009, Jackson was somewhere between $400million to $500million in debt, Ackerman told the court.
“He was tapped out,” Ackerman said.
Ackerman also revealed that Jackson received no loans after 2007 and was three or four months behind payments of his San Fernando Valley home where his mother lived at the time of his death.
During the trial, the CPA also revealed that Jackson’s tours in the 1990s had not been great money spinners. They explained Jackson broke even on his Dangerous Tour in 1992 but lost $11.2million during his HIStory tour in 1997.
One of the biggest drains on Jackson’s finances was his beloved Neverland Ranch which turned out to be a huge money pit.
The hitmaker was paying out huge amounts for the maintenance of the zoo and the train that travelled round the mini-theme park. His staff payments alone were said to have topped $2.5million a year.
On top of his sprawling Californian home, the King of Pop also splashed out on a $9.5million mansion in Las Vegas, that was nicknamed ‘The Thriller Villa.’
Jacko’s Sin City property came complete with seven bedrooms, 12 bathrooms, a guest house, bell tower, and a medieval chapel that could entertain more than 70 people – which was decorated with a hand-painted ceiling.
Michael also had an expansive art collection that was estimated to be worth around $90million and included pieces from French painters Paul Pascal and Maurice Utrillo.
He also loved treating himself to new motors with his custom made Rolls Royce Seaph Limousine being one of his most prized possesions.
Jackson also splurged on a 1990 Rolls Royce Silver Spur II and white 1998 Lincoln town car, both customised to meet his exact tastes.
He was also known to indulge in some very costly retail therapy.
Insiders close to the star said on occasion he would pick up a catalogue and order everything in it.
While his infamous shopping trips could see him racking up thousands of pounds worth of purchases within minutes.
In 2008 the star stopped by at London department store Harrods where he’s alleged to have spent £100,000 in 15 minutes.
MirrorCeleb