Vince McMahon may be trying to buy the XFL out of bankruptcy court according to The Athletic. The XFL suspended operations on April 10 and filed for bankruptcy on April 13. That was just over five weeks ago and it was apparently just a shrewd business move. How exciting for XFL employees who have been out of work in the middle of a pandemic.
As reported by The Athletic, XFL offices are still open and executives are still drawing salaries which is a curious thing for a bankrupt, closed business to do. If the league isn't planning to re-open with the same people in charge, this would make no sense. Unless there was some very high-level business-ing going on.
But a committee of unsecured creditors had plenty to say Tuesday in a series of court filings. Objecting to Alpha Entertainment’s proposal to pay $3.5 million in season ticket refunds, the committee wrote, 'This is an unnecessary expenditure designed to buttress the Debtor’s argument that an abbreviated sales process is required and is being sought to further the efforts of the debtor’s controlling equity holder/secured lender, Vincent McMahon (“McMahon”), to acquire the debtor at a fire-sale price. … The debtor cannot possibly know at this time whether issuing refunds to season ticket holders will preserve the value of the debtor estate’s or benefit any creditor, other than possibly McMahon.'- The Athletic
It sounds like McMahon is trying to refund season ticket holders, presumably so they will then give that money back when the league resumes operations. While the motivations for this are questionable, it would result in fans getting their money back, which is good.
If McMahon is allowed to buy back the XFL months after closing it down and declaring it bankrupt, it would seem... uncool? It seems like something that should be illegal. Hundreds of employees were left high and dry in the middle of a pandemic and economic downturn so a guy worth over $2 billion could save a few million? It just seems wrong.