Rich man, poor man

Simpson scrambles for money,
but has enough for retirement

January 26, 1997
Web posted at: 1:45 p.m. EST

A CNN/Time magazine investigation

LOS ANGELES (CNN) -- The jury this week will begin deliberations in the O.J. Simpson civil trial, with the families of murder victims Nicole Brown Simpson and Ron Goldman hoping for a verdict holding him responsible in the deaths of their loved ones.

But civil trials are ultimately about money, and while Simpson claims to be broke after running up millions in legal fees during his criminal trial, a CNN/Time magazine investigation revealed that Simpson could have millions left. But the money is likely socked away where only Simpson can touch it, in personal pension funds.

The retirement accounts were set up for him by his financial advisers years ago when the Hall of Fame football hero was being paid handsomely as a network sports commentator.

Pension lawyer Roger Halfhide estimates Simpson's pension fund could be worth between $1.7 million and $2 million, but it could be worth more. Sources close to Simpson's current trial put the value at at least $2.5 million.

Public records list two funds for O.J. Simpson Enterprises Incorporated -- a "profit sharing trust" and a "money purchase pension fund."

Simpson can start drawing benefits from those retirement funds in five years. He can borrow from them now -- in fact, he already has. But under California law, pension funds are untouchable in a court case like Simpson's current trial.

"If you are a participant in a qualified plan, generally speaking, the assets of the plan are exempt from levy," said tax attorney Scott Racine.

CNN/Time's investigation illuminated a portrait of a man rich enough to live comfortably in his retirement years and poor enough to have to scramble to pay his bills now.

Mortgage records show Simpson has very little equity left in the luxurious estate where he lives. During the criminal trial, at which he was found not guilty, he was forced to take out a $3 million line of credit against his home.

And Simpson's current lawyer has filed an additional claim against the home to make sure he gets paid for the latest trial.

Simpson has been in a fire sale mode since his 1995 arrest, selling almost all his investment properties -- including two condominiums -- apparently at a loss.

Should the jury verdict go their way, perhaps the best the Brown and Goldman families can hope for, under the law, is to tap into 25 percent of Simpson's future earnings -- a meaningless proposition should Simpson remain unemployed.

Correspondent Charles Feldman and CNN's financial unit contributed to this report.

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