Stars File for Bankruptcy, team to be auctioned

[germany00]

According to reports, the Dallas Stars will file for bankruptcy and sell the club at an auction.

Bloomberg reported on Wednesday that owner Tom Hicks' plan to file for bankruptcy -- as early as Wednesday -- as a means to start the auction process has been approved by the majority of the team's creditors, according to a source familiar with the plan.

It is expected that once the Stars enter into the auction phase, investor Tom Gaglardi, chairman and chief executive officer of Sandman Hotels, Inns & Suites, would be the lead bidder for the team, according to the story. Other potential buyers could then make bids until a final price is reached.

If Gaglardi, a Vancouver-based businessman, wins the bidding process, he would take control of the franchise as well as 50 percent of American Airlines Center, the Stars' home. Mark Cuban, who owns the NBA's Dallas Mavericks, owns the other 50 percent of the arena.