Inside Ed McMahon's Money Mess

Ed McMahon helped Johnny Carson on "The Tonight Show." Ed McMahon helped people realize their dreams on "Star Search." Ed McMahon helped individuals win millions, thanks to the American Family Publishers' sweepstakes. Ed McMahon helped fight two wars. And Ed McMahon helped generations laugh and smile. But now, who is going to help Ed McMahon?

That remains to be answered.

Ed McMahon, who has given to so many, may now lose his Beverly Hills home to foreclosure because he owes approximately $644,000 in payments on a nearly $5 million mortgage loan. Added to that fiscal fiasco is that American Express obtained a judgment against McMahon for just about $750,000 in unpaid bills, and a Washington-based company named Hix Inc. claimed he failed to repay a loan of $135,000. (In February, McMahon settled with Hix Inc., and now owes $51,000.) All tallied, McMahon, who earned millions over his 50-year career, is in debt for nearly $1.5 million.

How is it possible that this TV legend could fall so far into financial disarray?

Heeeeeere's what happened. Part of the comedic sidekick's tragic flaw has been his big heart. McMahon "is an extremely generous human being to his own detriment," said David Fisher, who collaborated with McMahon on his autobiography, "For Laughing Out Loud" and his latest book, "When Television Was Young."

"Ed is someone who loves to make people happy," revealed Fisher, who added that the munificent McMahon would drop dough everywhere. "Being Ed McMahon was an expensive proposition," he said. A lot of cash "went to tips," noted Fisher, who recalled walking through hotel lobbies with McMahon as he would hand out money to anyone who helped him. The TV fixture also spent a fortune helping to launch his third wife Pam's clothing company. By most accounts, even though the designs, which were sold at Saks Fifth Avenue and Neiman Marcus and reportedly worn by Paula Abdul and Sharon Stone, were well received, the high-priced fashion line fizzled.

And while money was going out, little was coming in. Incredibly, Carson's second banana of 30 years has said he doesn't receive residuals from the successful DVD box sets of "The Tonight Show." The 85-year-old also hasn't been able to work since he broke his neck in a fall a year-and-a half ago. Fisher recounted how a day or two after McMahon was injured, the TV fixture instead stuck to his commitment to review the manuscript for "When Television Was Young," rather than going to the hospital.

"He was in terrible pain," said his coauthor, "but he spent the entire day working, and when he went to the hospital the next day, he was told he broke his neck and was in possible danger of dying."

His rep, Howard Bragman, further felt McMahon's money mess was a result of a confluence of "bad health, bad economy, bad housing market." Bragman told me that even though McMahon is going through his own financial woes, he's still empathetic, and that his "heart goes out to [all those] who worked their whole lives" and are similarly caught in the housing crisis.

Compounding the problem for the big-hearted McMahon is that he's had a hard time unloading his magnificent six-bedroom, five-bathroom, 7,000-square-foot home, complete with sweeping views and a large pool. (For a look into McMahon's mansion, originally listed for $6.25 million and now priced at $5.75 million, check out http://video.accesshollywood.com/player/?id=259537.) Some potential buyers have been scared off by the area, which boasts such celebrity neighbors as George Clooney and Britney Spears, who ironically gained fame on McMahon's "Star Search." Alex Davis, McMahon's real estate agent, told the Associated Press, "When we were trying to sell the house one time, there were about 100 paparazzi there."

Nevertheless, despite his current cash calamities, McMahon's rep said his client has "always been optimistic, and he remains optimistic that something good will happen."

Hopefully, this TV veteran, who's also a World War II and Korean War marine vet, will quickly win this battle with the help of his friends and fans.

AccessHollywood.com

Comments

[GORKINOFF]

If he's rich and in trouble, What about the little guy?...Somebody should set up a website to send me $20!-I'm a veteran! Hopefully, someone can set this up!~~~Whatever!

[YellowDogInRedCounty]

Thanks for your service. I hope you received a Purple Heart for the injury that obviously took out a big chunk of your own heart. Are you not capable of feeling for Ed AND "...the little guy" too?

[Dannydel]

The guy is an american icon. There should be an online fund set up where folks like me can send in
$20.00. Imagine how good we'd feel if we could help Ed get out of debt and allow him to spend his
remaining years without worry. He is a WW II hero and an altruistic gentleman. Hopefully, someone
can set this up.