Country singer Eddie Montgomery, one-half of the duo Montgomery Gentry, filed for individual bankruptcy Tuesday. In the filing in U.S. Bankruptcy Court in Lexington, the Danville resident listed $13.4 million in liabilities and $1.9 million in assets.
His debts stem from millions owed on a failed restaurant in Harrodsburg, Eddie Montgomery's Steakhouse, which closed abruptly last May and is scheduled to be sold in a master commissioner's sale Jan. 10.
The sale was ordered, with the proceeds to be used to pay nearly $12.7 million in default loans to Central Bank & Trust of Lexington. Montgomery guaranteed the business loans, and the bankruptcy filing lists almost $8.4 million in claims, many related to the restaurant.
He and his wife, Tracy Nunan, opened the restaurant in 2009; they have since divorced.
A house on 273 acres in Boyle County co-owned by Montgomery and Nunan is listed for sale by Justice Real Estate for $1.25 million; among the property that the filing said will be surrendered to banks is an interest, valued at $1.16 million, in that home.
Montgomery — who tweets under the name @LuckymanEddie, referencing Montgomery Gentry's song Lucky Man — could not be reached for comment.
"Due to his divorce and the restaurant closure, Mr. Montgomery filed for Chapter 7 relief to address these ongoing issues," said Montgomery's attorney, Jamie Harris of DelCotto Law Group in Lexington. "It is very common with individuals dealing with divorce and business closure to have to seek out bankruptcy relief."
Montgomery, whose brother is country star John Michael Montgomery, and his music partner, Troy Gentry, had a string of hits as Montgomery Gentry from 1999 to 2008, including the Grammy-nominated Lucky Man, My Town, Gone and Daddy Won't Sell the Farm.
Every year from 2000 to 2009, Montgomery Gentry was nominated for best vocal duo at the Academy of Country Music Awards and the Country Music Association Awards, winning the trophies in 2000. They got their start playing Lexington bars, including Austin City Saloon and The Grapevine.
Their latest album was 2011's Rebels on the Run, with Jim Beam continuing a long-standing sponsorship. The group was on tour with the Charlie Daniels Band through December and is scheduled to take part later this month in a Caribbean cruise for country music fans. The lineup includes Wynonna Judd.