Jackson Honchos Score $3 Mil

The special administrators of Michael Jackson's estate scored a big one -- reeling in $3 million from the company that issued a life insurance policy to M.J.
John Branca (above) and John McClain quietly cashed in the policy -- reports it was worth upwards of $20 million are simply not true. It was a $3 million payout. And here's why it was a swift move -- the coroner hasn't even released the autopsy report yet.

Some life insurance companies are hinky about paying out proceeds until the cause of death is known. Remember Heath Ledger's death, when the life insurance company wouldn't promptly fork over the $10 million because Heath allegedly lied about drug use on the application?

Somehow Branca and McClain convinced the insurance company to ante up with lightening speed -- and the estate is $3 million richer for it.

Joe Jackson agrees that Katherine left with custody of grandchildren

Joe Jackson said, in Teece Thursday, 4 to the website TMZ, which is satisfied that custody of the children of Michael Jackson, Paris, Prince and Blanket, be with his wife, Katherine Jackson.

"Katherine Jackson is an excellent guardian and has done a great job creating our children and grandchildren," said Joe.

The father of the king of pop used to say that still will see their grandchildren with the decision. "I have a good close relationship with these children since their birth. Visit the residence of the family from time to time and will continue to do so, despite not being involved in creating them."

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Coroner Gets More Jackson Doctor Files

We've learned a doctor who was reprimanded for prescribing drugs to Janet Jackson using aliases has been asked to turn over his Michael Jackson-related medical files to the L.A. County Coroner's office.

Law enforcement sources tell us the coroner has subpoenaed Dr. Allan Metzger's files. As we first reported, Metzger was reprimanded by the Medical Board of California for allegedly writing fraudulent prescriptions for Janet Jackson, "using a false/fictitious name."

At the time we broke the story, Metzger would not say if he used aliases for Michael Jackson when he treated him. But we've now learned Dr. Metzger's files were labeled Omar Arnold/Michael Jackson. There is nothing illegal about using an alias if the patient's real name is also used. We're told Dr. Metzger turned the files over a week ago.

When we spoke with Dr. Metzger on July 5, he told us "I have not treated him [Jackson] for ages." At the time he told us he last spoke with Jackson by phone in April and talked about the tour, his children, nutrition and hydration. We specifically asked Dr. Metzger if he talked to Jackson about Propofol and he said he had not.

But now Dr. Metzger's lawyer, Harland Braun, says Dr. Metzger actually went to Jackson's house in April and the singer specifically asked about using Propofol at home, and the doctor advised against it. Braun told us he believed Jackson was asking Dr. Metzger to provide the drug to Jackson but the doctor declined.

Braun says Metzger wrote notes about the meeting in his medical charts, despite what Dr. Metzger told us -- that he hadn't been Jackson's doctor "for ages." Braun didn't know when Dr. Metzger wrote his notes.

Jackson Doc's Interest in Sleeping Disorders

An interesting turn in the Michael Jackson investigation. Several items were seized at Dr. Conrad Murray's Houston office -- "Pamphlets on Sleep Center."

We're told Jackson may have taken the powerful anesthesia Propofol the day he died because he couldn't sleep. Police believe Dr. Murray may have administered the drug.

The Sleep Center is located near Doctor's Hospital in Houston. Dr. Murray was suspended from Doctor's Hospital -- the administrator tells us he believes the doctor was suspended for not completing medical records in a timely fashion.

As for Dr. Murray's affiliation with the Sleep Center -- a rep from the company hung up when we told them we were TMZ.

Klein Did Surgery on Jackson in Gyno Office

We've learned Dr. Arnold Klein once took Michael Jackson to the office next door to his -- run by a gynecologist specializing in vaginal rejuvenation -- to perform a minor acne treatment on the singer under full anesthesia.

We spoke with Dr. Harvey Richmond who told us ... around 2003, Dr. Klein asked him if he could use Richmond's surgery center in his office to perform a procedure on Jackson.

Dr. Richmond says, per Klein's request, he got an anesthesiologist and a scrub tech who worked on Jackson.

Dr. Richmond says he found it "odd" that Dr. Klein performed "some sort of acne treatment" with full anesthesia. Dr. Richmond says he believes the anesthesia used was Propofol, the same drug that may have killed Jackson.

Dr. Richmond says the 2003 procedure was the only time Dr. Klein used his office for Jackson.

And there's this -- Dr. Richmond says Jackson stiffed him on the bill, eventually only paying half after Richmond threatened to take the singer to Beverly Hills small claims court

Katherine and Kids Need Money -- STAT!

Lawyers for Michael Jackson's estate, along with Katherine Jackson's lawyer, went to court this morning, seeking temporary financial allowances -- and Katherine claims she needs the money to live.

The matter was put off until August 3, when lawyers will all appear in court.

UDATE: 2:29 PM PT: Lawyers for the estate wrote in a written declaration, "We are informed that Mrs. Jackson was also financially dependent upon Michael Jackson and that other than extremely modest social security benefits, Mrs. Jackson has no independent means of support."

The declaration continues: "Michael Jackson died 4 weeks ago. Therefore, there is an urgent need for the Special Administrators to be authorized to pay family allowance for the benefits of Minor Children in order to ensure that the Minor Children's needs for maintenance and support are met."

The document also says other than social security benefits which the kids have not yet received, they are totally dependent on the estate for their care and support.