Legal
Private Bank Sues Sports Star Client
The Royal Bank of Canada's private banking division is suing the US football star Michael Vick for more than $2.3 million. He could face up to six years in jail after a recent guilty plea on US federal dogfighting charge. Mr Vick, who awaits sentencing on 10 December, borrowed $2.5 million from RBC's private banking arm in January, with plans to use the money for real estate investments, RBC said in the lawsuit filed in US District Court in Virginia. Reports in the Canadian press said that Mr Vick's guilty plea and the resulting impact on his career have prevented him from repaying money he borrowed from the private bank. In its lawsuit, Royal Bank said the loan's terms specify that any employment change reducing Mr Vick's income constitutes a default on the loan. RBC is demanding "immediate payment in full" of $2,313,694.37, plus interest and fees, starting 19 September.