Epic Failure

On Feb. 28, 2012, the Epic Poker League filed for Chapter 11 bankruptcy. Initial filings showed that more than 100 creditors were owed, in total, more than $5 million. But a Statement of Financial Affairs filed April 3rd shows that liabilities are closer to $8 million.

Over the 14 months during which it operated, the Epic Poker League had revenues of just $37,052, while racking up debt of $7,892,242. They accumulated all the debt while hosting just 3 tournaments. Money was added to each of the three purses, and the CBS Corporation was paid to televise the tournaments.

The company also paid vendors to the tune of $2.4 million, but probably the most shocking revelation from the Statement of Financial Affairs is the $1.1 million paid to five Federated Sports officers. Those officers include Annie Duke ($299,784), Jeffery Pollack ($226,652), Daniel Goldberg ($181,062), Jeffrey Grosman ($216,666) and Michael Brodsky ($166,666).

In addition to those paid wages, the officers are claiming another $662,801 in additional unpaid wages and business development expenses, including $71,669 for Duke, $169,322 for Pollack, $167,962 for Goldberg, $67,796 for Grosman and $149,050 for Brodsky.

If you think paying over $1.75 million to 5 officers who oversaw a company with $37,000 in revenues over a 14 month period seems like epic failure, you are not alone.