AutoGear
  • Latest News
  • AutoGear TV
  • Sustainable Mobility
  • Motorsports
    • Circuits
    • Rally
    • Rally raid
    • WEC
  • English
    • Português
    • Italiano
    • Français
    • Español
    • English
    • Deutsch
    • 日本語
  • STANDINGS
No Result
View All Result
AutoGear
  • Latest News
  • AutoGear TV
  • Sustainable Mobility
  • Motorsports
    • Circuits
    • Rally
    • Rally raid
    • WEC
  • English
    • Português
    • Italiano
    • Français
    • Español
    • English
    • Deutsch
    • 日本語
  • STANDINGS
No Result
View All Result
AutoGear

Ron Devine’s NASCAR Nightmare: $31 Million Plea Rejected as Legal Battle Against Federal Charges Rages On

Publisher by Publisher
January 20, 2025
in Motorsports
Reading Time: 4 mins read
0
Ron Devine’s NASCAR Nightmare: $31 Million Plea Rejected as Legal Battle Against Federal Charges Rages On

Ron Devine, once a hopeful figure in NASCAR’s competitive landscape, now finds his name etched in one of the sport’s most cautionary tales. The former owner of BK Racing—a team that entered the NASCAR Cup Series with ambition in 2012—faces a legacy overshadowed by financial turmoil, legal entanglements, and allegations of misconduct.

As of January 2025, Devine’s legal troubles escalated when the U.S. Court of Appeals upheld a $31 million judgment against him, stemming from BK Racing’s bankruptcy. This ruling reaffirms allegations of financial mismanagement during his tenure as team owner and compounds the criminal charges he already faces for federal tax violations.


BK Racing: A Promising Start, a Bitter End

BK Racing’s inception in 2012 brought fresh energy to NASCAR’s Cup Series. Devine’s vision was to establish a competitive team, but behind the scenes, the foundation was crumbling. Financial mismanagement, mounting debts, and internal instability plagued the team. By February 2018, BK Racing filed for Chapter 11 bankruptcy, revealing debts of over $8 million, including loans, IRS obligations, and employee wages.

The bankruptcy court supervised a sale of the team’s charter and assets, which were eventually acquired by Front Row Motorsports for $2.08 million. While the sale marked the end of BK Racing’s journey in NASCAR, it was only the beginning of Devine’s legal battles.


The $31 Million Judgment

The recent court ruling, delivered in January 2025, includes $6 million in payments made to Devine-affiliated trusts and companies and $11 million in debts owed by BK Racing. The bankruptcy trustee argued these funds were improperly used and required reimbursement. The appellate court’s decision upheld the lower court’s ruling, describing Devine’s conduct as a “blatant disregard for the judicial process.”

This judgment ensures any recovered funds will be directed toward repaying creditors, including banks, the IRS, and former BK Racing employees. However, the availability of these funds remains uncertain.


Tax Fraud Charges and Criminal Liability

Devine’s troubles don’t stop with the civil judgment. In 2023, the U.S. Attorney for the Western District of North Carolina filed an indictment accusing Devine of failing to pay payroll taxes from 2012 to 2017. Prosecutors alleged that Devine diverted over $2 million in payroll taxes intended for the IRS to cover BK Racing’s operational expenses, such as rent and utilities.

The most egregious charge highlighted Devine’s failure to remit $176,000 in trust fund taxes during the second quarter of 2017. He was indicted on four counts of failure to pay payroll taxes, each carrying a potential five-year prison sentence and a $250,000 fine. In October 2024, Devine entered a plea deal, acknowledging his tax evasion and agreeing to a $1 million fine.


The Fallout and Devine’s Defense

Devine has maintained that his actions were driven by an attempt to keep the team operational, not personal gain. Speaking about his financial disclosures, he lamented:

“I’m trying as hard as I can… to keep up with this thing. It is amazingly overwhelming. … I am an honest person.”

Despite these claims, the courts and federal prosecutors have shown little leniency, painting a picture of reckless financial decisions that left creditors, employees, and fans in the lurch.


What’s Next for Ron Devine?

With civil and criminal penalties piling up, Devine faces a steep uphill battle. The $31 million judgment alone would be a monumental burden, even without the additional $1 million fine for tax fraud. While the plea deal mitigates his exposure to maximum prison sentences, the combination of fines, legal fees, and reputational damage leaves Devine’s future uncertain.

For NASCAR fans, the fall of BK Racing is a cautionary tale about the risks of overreach and mismanagement in the high-stakes world of motorsports. For Ron Devine, it’s a saga of unfulfilled potential, a tarnished legacy, and a fight for redemption in the face of mounting legal challenges.

Share212Tweet133Send

Related Posts

Isack Hadjar Thrives Under Pressure as He Secures Red Bull F1 Future for 2026
Motorsports

Isack Hadjar Thrives Under Pressure as He Secures Red Bull F1 Future for 2026

Getty Images / Red Bull Content Pool

by Arthur Ling
October 12, 2025
Verstappen’s Fiery Comeback: How Red Bull’s Bold Upgrades Ignite Title Hopes!
Motorsports

Verstappen’s Fiery Comeback: How Red Bull’s Bold Upgrades Ignite Title Hopes!

Getty Images / Red Bull Content Pool

by Redação
October 12, 2025
Ferrari’s F1 2025 Nightmare: Leclerc Reveals Shocking Struggles and Unraveled Ambitions
Motorsports

Ferrari’s F1 2025 Nightmare: Leclerc Reveals Shocking Struggles and Unraveled Ambitions

ASPhotography

by Simon Monroy
October 12, 2025
McLaren’s Controversial Championship Win: Steiner Slams Team as ‘W***ers’ After Singapore Chaos!
Motorsports

McLaren’s Controversial Championship Win: Steiner Slams Team as ‘W***ers’ After Singapore Chaos!

2025 Kym Illman

by David Castro
October 12, 2025

Recent News

Museu Skoda: 130 anos de história

Skoda Museum: 130 Years of History

October 13, 2025
Mais de seis milhões de carregamentos de veículos eletrificados na rede pública em 2025

“More than six million electric vehicle chargeings on the public network in 2025.”

October 13, 2025
Elétricos do Grupo VW: vendas crescem mas…

“Volkswagen Group electric vehicles: sales grow but…”

October 13, 2025
BYD inaugura no Brasil a maior fábrica da América Latina

BYD inaugurates the largest factory in Latin America in Brazil.

October 13, 2025

Newsletter

  • PRIVACY POLICY
  • TECHNICAL INFORMATION
  • EDITORIAL STATUS
  • TERMS AND CONDITIONS

© 2023 AutoGear - Todos os direitos reservados AutoGear.

No Result
View All Result
  • Latest News
  • AutoGear TV
  • Sustainable Mobility
  • Motorsports
    • Circuits
    • Rally
    • Rally raid
    • WEC
  • English
    • Português
    • Italiano
    • Français
    • Español
    • English
    • Deutsch
    • 日本語

© 2023 AutoGear - Todos os direitos reservados AutoGear.