The Lenny Dykstra trainwreck continues: Judge delays ruling

Among the issues Dykstra is facing:

• One of his creditors claims that Dykstra was not carrying insurance on the $17.5 million house he acquired from Wayne Gretzky in 2007, and that Dykstra lied about that fact. He has the rest of the month to secure proof that the home is insured.
• Judge Geraldine Mund wants Dykstra to provide proof that he is attempting to sell the homes he owns.
• Dykstra currently has no source of income, and the judge demanded that he come back on September 1 with some plan for how he will be able to earn money to pay off his creditors.

If these three problems aren't resolved, Dykstra's Chapter 11 reorganization could be converted into a Chapter 7 liquidation -- whether he likes it or not -- and he'll lose total control of his empire of cards. Dykstra, for his part, remains defiant and optimistic. He told Jane Wells that he has investors lined up to bring his Player's Club magazine back and better than ever -- because who wouldn't want to buy a magazine about how to be an athlete without going broke from a broke athlete -- and that he's also planning to do a reality show. Wow.

Quite a strange turn for the guy Jim Cramer called "one of the great ones" in the world of finance.