Rudy Giuliani’s bankruptcy reaches a crossroads

[Geee]

The Hill

One way or another, Rudy Giuliani’s ability to leverage bankruptcy to retain control of his finances appears headed for an end.

But the question remains, what’s next?

U.S. Bankruptcy Judge Sean Lane at a Wednesday hearing is set to address three competing proposals from Giuliani and his creditors, any of which would drastically shift the status quo after months of rising tensions.

Giuliani filed for Chapter 11 bankruptcy reorganization in December after two Georgia election workers won a $148 million defamation judgment against the mayor-turned-Trump-attorney for spreading a baseless conspiracy that they were involved in mass election fraud in 2020. Giuliani has vowed to appeal.

Never mincing words, his creditors have portrayed Giuliani’s Chapter 11 proceedings as a delay tactic to keep control of his finances while avoiding paying the sum.

“Since day one, Giuliani has regarded this case and the bankruptcy process as a joke, hiding behind the façade of an elderly, doddering man,” a committee of creditors wrote in court documents filed Monday.  

Until now, Giuliani’s creditors remained united. They accused Giuliani of spending egregiously, hiding assets and stalling progress. They increasingly brought concerns to a head, filing motions seeking sanctions and an independent trustee to take control.

But as the bankruptcy case reaches a crossroads this week, the judge now must wade into an emerging split between those trying to collect from the former federal prosecutor.

 

[Geee]

We give a lot of coverage to what they have done to Trump, but what they have done to many people who served with him is so so outrageous and absolutely sad. Lawfare has destroyed their lives. Can he get good people to serve another administration, or will they be afraid of the same?