Cleveland millionaire Steve "Toby" McKenzie, whose name is on UTC's McKenzie Arena, has filed for Chapter 11 bankruptcy amid debts totaling more than $100 million owed to various banks.
Mr. McKenzie's lawyer, Kyle R. Weems, said today that the move was prompted by the "bad real estate market."
"We fully expect to reorganize," Mr. Weems said. The reorganization of Mr. McKenzie's finances "will ultimately give him time" to regain ground in the real estate market, he said.
Mr. McKenzie has ownership in 118 limited liability companies, Mr. Weems said.
He made his initial fortune in the check cashing business. He also is known for donating money with his then-wife Brenda to help complete the construction of McKenzie Arena on the University of Tennessee at Chattanooga campus.
See tomorrow's Times Free Press for complete details.