Is Michael Jackson go bankrupt? Well at least it seems so. The king of pop has on Thursday March 9th, 2006 been ordered by California authorities to shut down his Neverland Valley Ranch for failing to pay his employees or maintain proper insurance.
The decision to close Jacko's sprawling ranch in the central California foothills was taken soon after the State Labor Commissioner office discovered that his worker's compensation policy had lapsed in January. Dean Fryer, the Department of Industrial Relations spokesman, explained "We went out there this morning and issued a stop order to the security guard at the front gate. We asked to be escorted in to meet management, but we were refused and turned away, so we gave the order to (the guard)."
Thus, as the order was given Michael is prohibited from employing anyone at the 2800-acre ranch until the insurance issues are resolved. The superstar could reopen the ranch if he obtains workers compensation insurance but may face legal action by the state if he fails to pay the back wages, so Fryer added.
Due to such fact, Michael at the same day also was fined $69,000, or $1,000 per employee, for allowing his insurance to lapse. And as the ranch is closed, local animal welfare officials had been asked to care for the inhabitants of Neverland's zoo.