May 18 (Source: Ventura County Star By Stephanie Hoops) – The Thousand Oaks home that ex-major league baseball player Lenny Dykstra raised his children in is on the verge of being sold at foreclosure, an event he claims would uproot his wife and child.Ventura County Superior Court Judge Fred Bysshe has issued a temporary restraining order blocking the sale until June 26.

My spouse and young son have no other place to live.

Lenny Dykstra

The looming foreclosure comes as Dykstra, 48, battles the U.S. Justice Department’s criminal charges. A few weeks ago a grand jury handed up a criminal indictment charging him with bankruptcy fraud. If convicted, he faces a maximum sentence of five years in prison.

Dykstra is out on bond, living under house arrest in the Fairfax District on the west side of Los Angeles.

He and his wife, Terri, are divorcing and Dykstra states in court records that she resides with their 15-year-old son in the house, which is on Ladbrook Way in the gated community of Lake Sherwood.

“My spouse and young son have no other place to live,” Dykstra states in court records.

Dykstra once owned two houses in Lake Sherwood. The other was a mansion originally built for hockey legend Wayne Gretzky and one of the Conejo Valley’s most expensive properties. Dykstra bought the Gretzky property in 2007 for $17.5 million. In November it sold at auction for $760,712.

Dykstra admits in an affidavit that he defaulted on the Ladbrook property in 2009, but his lawyer argues the company attempting to foreclose — Simi Valley-based ReconTrust, a unit of Bank of America — has no authority to foreclose on the property because it wasn’t a party to the loan.

Dykstra is a three-time all-star who played with the New York Mets and Philadelphia Phillies before gaining notoriety as an investment advice columnist for TheStreet.com. Jim Cramer of “Mad Money” once described Dykstra as one of the “great ones” in investment circles.

His finances tanked shortly before he filed for bankruptcy in summer 2009. After filing, federal investigators allege, he sold more than $400,000 worth of property belonging to the bankruptcy estate without the trustee’s permission.

FBI investigators allege he took furnishings and fixtures from the Gretzky estate and placed them with a consignment store.

Source: Ventura County Star By Stephanie Hoops

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A service of YellowBrix, Inc. Publication date: 2011-05-18