business

How has Denny Hecker continued to drive a Cadillac Escalade, dine out at the Oceanaire Seafood Room and Manny's Steakhouse and maintain memberships at the Lafayette, Wayzata and Spring Hill country clubs long after declaring himself broke?

By court order, Hecker will have to detail in a week how those expenses and others have been paid over the past seven months.

Federal Bankruptcy Judge Robert Kressel on Wednesday granted the motion of receiver Randall Seaver for access to such documentation. Seaver is trying to determine if Hecker has hidden assets or is being helped by others as his bankruptcy plays out. Hecker also awaits trial on criminal charges tied to the collapse of his auto empire.

Kressel rejected the assertion of Hecker's attorney, Barbara May, that divulging that information would violate Hecker's Fifth Amendment right against self-incrimination. She claimed that some of the information could be used against him in the criminal case, scheduled for trial in October.

"This guy's liberty is on the line," May said of her client. "He can't be required to provide the keys that could put him in jail."

The information sought by Seaver must be produced in seven days. It likely will not become part of the public record, however, because they are considered part of an ongoing investigation.

The attorney for Seaver, Matthew Burton, told Kressel that Hecker still has memberships at the Lafayette, Wayzata and Spring Hill country clubs, has been driving luxury vehicles, including the Escalade, and has been using prepaid gift cards.

Seaver wants copies of bills for meals at Manny's and Oceanaire, and maintenance and utility bills for Hecker's Medina home called Northridge.

Seaver also wants details on a $30,000 insurance refund that Hecker obtained and cashed before the receiver knew about it. Seaver wants to know whether or not it's the same $30,000 subsequently turned over to him.

"This is a cat-and-mouse game on a grand scale," Burton told Kressel.

David Phelps • 612-673-7269