Bill Romanowski, wife file for bankruptcy amid DOJ lawsuit over unpaid taxes

2024-12-24 01:37:23 source: category:Finance

Former NFL linebacker Bill Romanowski and his wife Julie filed for bankruptcy Monday amid allegations that they owe the U.S. government millions in unpaid taxes, according to court records.

The bankruptcy filing came at a pivotal moment for the Romanowskis − less than 24 hours before a scheduled hearing Tuesday in the civil case that Department of Justice lawyers brought against the couple last summer. U.S. attorneys allege that the Romanowskis used a nutrition company they founded to skirt tax obligations and now owe more than $15.5 million in back taxes.

Under federal law, filing for bankruptcy will give the Romanowskis a temporary reprieve, triggering an automatic pause in the Department of Justice's efforts to collect on the alleged money owed.

The couple's attorney did not immediately reply to an e-mail seeking comment.

Romanowski, 58, spent parts of 16 seasons in the NFL with the Denver Broncos, San Francisco 49ers and two other teams, developing a reputation as a fiery and polarizing linebacker. He won four Super Bowl rings and recorded more than 1,000 career tackles, but he was also frequently embroiled in controversy and later admitted that he used steroids during his playing career.

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Department of Justice lawyers allege that in the years before and after his retirement, which came after the 2003 season, Romanowski and his wife failed to pay millions in income tax. In attempts to avoid reporting federal income and repaying those taxes, the couple then used money from Nutrition53, the nutritional supplement company they founded, to pay for personal expenses and those of their two children, government lawyers say.

According to court records, Bill and Julie Romanowski opened up bank accounts on behalf of Nutrition53 but then used money in those accounts to pay for everything from the rent for their 6,000-square-foot home in California to groceries, veterenarian expenses and "over 170 visits to nail salons, hair salons and day spas."

Nutrition53, which was also named as a defendant in the federal lawsuit, filed for Chapter 11 bankruptcy last fall. Department of Justice lawyers have since filed a motion for default judgment against the Romanowskis, asking a judge to immediately rule in the government's favor. A hearing on that motion was scheduled for Tuesday afternoon.

Contact Tom Schad at [email protected] or on social media @Tom_Schad.

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