Former New York Met and Philadelphia Phillies fan favorite Lenny Dykstra has failed to pay back money he borrowed from his brokerage firm, and his recent loss of a securities arbitration claim over the matter is one in a series of mounting legal problems for the three-time All-Star.
The latest setback stems from his brokerage account with Oppenheimer & Co. Inc. of New York.
In November, Oppenheimer alleged in an arbitration claim that Mr. Dykstra refused to pay the balance of $15,988.86 owed as an outstanding debit in his account, according to a Financial Industry Regulatory Authority Inc. dispute resolution issued April 8. The arbitrator, Sandra L. Malok, found him liable in the matter.
According to the Finra arbitration decision, Mr. Dykstra never answered Oppenheimer's original suit, known as a statement of claim. Finra is based in New York and Washington.
During the bull market that crested in October 2007, Mr. Dykstra achieved some renown as a stock picker. His stock reports were available on TheStreet.com before it cut him from its roster last week.
Jim Cramer, the founder of that website, once dubbed Mr. Dykstra “one of the great ones in the business.”
Oppenheimer is only one of Mr. Dykstra's creditors.
His 12,713-square-foot estate in Thousand Oaks, Calif., originally built for hockey legend Wayne Gretzky, could be months away from foreclosure, according to published reports. Mr. Dykstra is reportedly behind on his payments to the tune of $422,436.
This month, his wife, Terri Dykstra, filed for divorce.
Mr. Dykstra, nicknamed “Nails,” was an outfielder with the Mets and Phillies from 1985 to 1996.
