Legendary Investor Lenny Dykstra Charged With Fraud, Arrested On "Unrelated Charges" (Update)

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Lenny Dykstra, described by his ex-best friend Jim Cramer as one of "the greats" in the investing industry, has reportedly been charged with with bankruptcy fraud for "selling items from his $18 million California mansion."

That would, of course, be the Sherwood mansion he bought from Wayne Gretzky in 2007 and was later kicked out of, but refused to leave before stripping the bathroom fixtures out of the place, which were presumably among the items he sold. Also! Apparently Nails was arrested last night by the LAPD on "unrelated charges." Those are all the details we have at this time, so while we wait, how about we take a stab at what LD got cuffed for. Being the Dykstra scholars we are, the first things that comes to mind are that his "In the Money Calls" raised a red flag with the SEC, which got him on insider trading or he was caught patronizing a hooker. Alternatively, as he's hit rock bottom, he could have been arrested for attempting to be a hooker. Additionally, it's possible he was caught breaking into a Twizzlers factory. What say you?

Update: "An affidavit filed by FBI Special Agent Ty Thomas lays out how federal investigators allege the baseball legend "sold many items belonging to the bankruptcy estate" and "destroyed and hid other estate items, depriving the estate of a combined $400,000 of assets." Dykstra allegedly had dozens of items including chandeliers, mirrors, artwork, a stove and a grandfather clock delivered to a consignment store, Uniques, on South Barrington Avenue in West Los Angeles. The owner of the store paid him cash for a U-Haul truckload of goods, according to the agent." [LATimes]

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