A creditor in Shilo Sanders’ bankruptcy case aims to broaden the investigation and subpoena Deion.
A recent court document related to the bankruptcy proceedings of Colorado football player Shilo Sanders requests to expand the scope of the investigation and issue a subpoena for Deion.
The investigation into Shilo Sanders’ assets is being expanded as attorneys are seeking additional information from his father, Deion Sanders, his brother Shedeur, and the University of Colorado.
This request comes from John Darjean’s legal team. Darjean is owed over $11 million by Shilo Sanders. They claim that Shilo has been uncooperative and has delayed providing the necessary documents to the trustee managing this case. Consequently, they are now petitioning a federal bankruptcy judge for permission to issue subpoenas in order to gather more information from Shilo.
Deion Sanders, the head coach of Colorado, and his son Shedeur Sanders, who plays quarterback for the team.
The filing notes that “The Debtor has offered minimal information to the Trustee while continuing to indulge in a luxurious lifestyle, highlighted by a recent purchase of a Tesla Cybertruck.”
Document states Deion Sanders has earned income for his son
Shilo Sanders, 24 years old, initiated bankruptcy proceedings in October 2023 to address debts owed to Darjean, a former security guard at his school in Dallas. This debt originates from an incident that took place in 2015 when Shilo was just 15 years old.
It is alleged that during an attempt to take away his phone at school, Shilo struck Darjean in the chest with his elbow.
Both Deion and Shilo Sanders have stated that Darjean was the one being aggressive, not Shilo. However, Darjean later won a court ruling in which he was awarded $11.89 million after suing Shilo for claiming he suffered lasting injuries from the encounter.
Currently, Darjean is engaged in a legal battle against Shilo.
In an effort to settle a debt, he aims to collect on it. To assist in this process, he is requesting the court’s permission to issue subpoenas for information from Deion and Shedeur Sanders. He also intends to send subpoenas to both the university and the 5430 Alliance, which compensates Colorado athletes for their names, images, and likenesses (NIL).
“Darjean’s legal representatives have obtained information that…
According to the filing, “Deion Sanders and/or Shadeur Sanders have earned income through promotional events and/or NIL activities on behalf of the Debtor.”
Shilo Sanders’ Lawyers Challenge Claims of Non-Cooperation
The university has chosen not to comment on this situation, stating that neither Shilo nor Deion Sanders will provide any remarks.
A representative for Shilo did not respond to a request for comment but has previously contested the claims being made.
Shilo has not been cooperative in the current legal proceedings. In August, his lawyers stated in a court document that he “has been open with information and has made available his retained experts, including various attorneys, an accountant, and other professionals to assist the Trustee.”
Shilo Sanders failed to attend the trial in Texas where he was hit with an $11 million default judgment in 2022. However, he had engaged in prior litigation activities by testifying during a pretrial deposition and filing counterclaims against Darjean. Currently, he is a graduate student at Colorado who is finishing up his final year of eligibility.
College football featuring the Buffaloes (6-2).
Creditor seeks to issue subpoenas for information
The attorneys representing Darjean have argued that the bankruptcy proceedings are primarily a conflict between Darjean and Shilo Sanders. They pointed out that Shilo declared bankruptcy while attempting to recover owed debts and accused him of significant nondisclosure regarding his assets in this matter.
“There are grounds to dismiss this case due to the Debtor’s bad faith actions, and Darjean intends to retain all rights and remedies concerning this issue,” according to the filing. “However, until this case is dismissed,…”
The Debtor, along with those associated with them, is required to provide the documents and information that Darjean would normally be entitled to access if the Debtor hadn’t filed for bankruptcy just before the receivership hearing.
The court’s filing seeks an order allowing Darjean to proceed with third-party discovery.
It requires each of the involved third parties to provide their responses within 30 days. The request for this information is deemed essential to recover assets that would benefit the bankruptcy estate. In legal terms related to bankruptcy, this process is referred to as a Rule 2004 Examination.
The filing mentions, “Deion Sanders and the Debtor have collaborated on documentaries, social media activities, and various events that likely generated income or royalties.” It suggests that Deion Sanders may be aware of how much compensation the Debtor has received or might have even benefited from it himself.