A Texan company has planned to file a lawsuit next week to recoup 12 million dollars from disgraced cyclist Lance Armstrong.
SCA Promotions insured bonuses paid to Armstrong when he claimed his fourth, fifth and sixth Tour de France wins.
The American has admitted using performance-enhancing drugs for all seven of his Tour de France wins, the BBC reports.
SCA lawyer Jeff Tillotson said that they will likely file that lawsuit as soon as next week unless they get a satisfactory response from Armstrong's camp.
According to the report, the insurance policy was taken out by Tailwind Sports, owner of the US Postal team, to cover performance bonuses payable to Armstrong if he claimed his fourth, fifth and sixth Tour victories.
SCA initially refused to pay out money covering the bonus for Armstrong's sixth Tour win in 2004, totaling five million dollars, because it argued Armstrong was not a clean rider.
Armstrong took the company to an arbitration hearing in Dallas in 2005 and won, because the contract between the parties stipulated the insurance money would be payable if Armstrong was the 'official winner' of the Tour, the report said.
But, after Armstrong's confession of doping to Oprah Winfrey this week, Tillotson said his client would be looking to recover the money, now assessed at 12 million dollars because of legal costs and interest.
According to the report, the Dallas attorney also gave his reaction to the Armstrong interview with Winfrey, saying he found it 'jaw-dropping' that the American had admitted all the things he denied in the arbitration hearing in 2005.
The American was 'engaged in serial cheating' and his career at the team was fuelled from start to finish by doping, the report added. (ANI)