Former Major League Baseball outfielder Lenny “Nails” Dykstra pleaded not guilty Monday to federal bankruptcy fraud charges, one week after he was charged in state court with 25 criminal counts.
Dykstra, 48, of Encino, entered the plea in Los Angeles federal court to charges stemming from the alleged sale of property taken from his $18 million mansion in Ventura County, according to City News Service. He is in state prison. Trial for Dykstra was set for Aug. 9 before U.S. District Judge Dean D. Pregerson.
A 13-count federal indictment returned May 6 charges Dykstra with one count each of bankruptcy fraud and obstruction of justice, four counts each of concealing property from the bankruptcy estate and making false declarations to the Bankruptcy Court, and three counts of embezzlement from the bankruptcy estate, according to CNS.
Federal prosecutors allege that after he filed for bankruptcy protection in July 2009, Dykstra looted his Sherwood Estates mansion, lied about who stripped the home and denied receiving money for having sold items that were owned by the Bankruptcy Estate.
The former New York Mets and Philadelphia Phillies outfielder was charged in U.S. District Court in April with bankruptcy fraud for allegedly selling or destroying $400,000 in property from his Ventura County mansion. All of the charges in the indictment carry a statutory maximum penalty of five years in federal prison, except for obstruction of justice, which carries a potential sentence of up to 20 years in prison, according to CNS.
If he is convicted of all 13 counts in the indictment, Dykstra would face a maximum possible penalty of 80 years in prison, according to the U.S. Attorney's Office.
Dykstra's bankruptcy case is still pending in U.S. Bankruptcy Court in Woodland Hills.
“The bankruptcy-related conduct charged in the indictment constitutes an egregious abuse of the bankruptcy system and will not be tolerated,” Peter C. Anderson, U.S. Trustee for Region 16, said when the charges were filed.
Dykstra when he was reportedly with help from his friend, actor Charlie Sheen.
He was again taken into custody in San Fernando Superior Court for allegedly trying to lease cars using phony business and credit information.
In that case, Dykstra is charged along with his accountant, Robert Hymers, 27, and a friend, Christopher Gavanis, 30. All three men are scheduled to be arraigned Thursday.
for the full story on Dykstra’s federal charges.
City News Service contributed to this report.