Donald Sterling's decision to revoke a family trust put the company controlling the Sterlings' real estate holdings on the hook for $500 million in loans that can only be covered by selling the Los Angeles Clippers, the company's chief financial officer testified today.
Darren Schield, CFO for Beverly Hills Properties, told Los Angeles Superior Court Judge Michael Levanas that he warned Sterling before he revoked the trust that there would be financial consequences.
``I told him this was going to open up the Pandora's box and lead to severe consequences,'' Schield said.
Donald Sterling revoked the trust after his wife removed him as a co- trustee.
Levanas is hearing a non-jury trial to determine whether Sterling's wife, Shelly, has authority under the family trust to sell the team to Microsoft CEO Steve Ballmer over her husband's objections, for a proposed $2 billion.
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