Real estate tycoon Steve Green has won a bankruptcy fire sale to buy liberal radio network Air America for $4.25 million, but he isn’t taking on any obligation to cover a bounced $360,749 paycheck to star commentator Al Franken.
Green, chairman of SL Green Realty who’s bankrolled several political campaigns for his brother Mark Green, agreed to cover at least $1 million for certain creditors, such as real estate leases, and pay $3.25 million to Piquant LLC, which had kept the network on the air with loans during its seven-month bankruptcy ordeal.
The network lost money from its inception three years ago, amassing $42 million in losses since 2004. Piquant LLC bought Air America in 2004 for $750,000.
Air America had assets of $7.5 million and liabilities of $23.1 million.
Among the network’s original backers who lost their investments include the Durst real estate family, which together owned 20 percent of the stock, and investor Rob Glaser, who owned 36.7 percent.
Court records said that another unidentified bidder tried to buy the assets but fell short of Green’s $4.25 million, being shy about $1.25 million.
Court records showed that Franken’s last paycheck of $360,749 was issued on Nov. 11, 2006, but it didn’t clear and was reversed by the bank.