"American Chopper" star Paul Teutul Sr. is in danger of having his New York mansion foreclosed on and sold off at public auction after one of his creditors went to a judge demanding they be allowed to seize the home ASAP.
On November 13, MT&T Bank filed court documents in Teutul’s bankruptcy demanding the judge allow them to start the process of foreclosing on his New York mansion. The 3,448 sq. ft. 3-bedroom, 3-bathroom home is located in Montgomery, NY.
Teutul took out a $1.5 million loan in 2005. The bank explains Teutul defaulted on the loan prior to him filing for bankruptcy.
MT&T says they were attempting to sue him for foreclosure but once he filed for Chapter 13, the case was put on hold. Once a bankruptcy is filed, all separate legal actions are put on pause until the bankruptcy is closed.
MT&T is asking for the stay of their lawsuit to be lifted, saying if they have to wait any longer they will suffer irreparable harm.
The bank claims they may have to advance funds to pay Teutul’s real estate taxes on the home. MT&T wants the judge to sign off and allow them to foreclose ASAP.
Earlier this year, Tuetul filed for bankruptcy in New York claiming he owns $1,801,729 in assets and has $1,070,893.44 in liabilities.