Judge Likely To Deliver Hard Blow To Giuliani

(NewsInsights.org) – Rudy Giuliani was once revered as “America’s Favorite Mayor” after the devastating attacks on 9/11. However, in recent years, he is better known for representing former President Donald Trump and being found guilty of defamation. He is currently more than $150 million in debt and filed for bankruptcy last December. Now, it appears a judge may dismiss his bankruptcy case.

Over the past few months, there have been multiple accusations surrounding Giuliani, including that he is skirting his $148 million judgment — he owes Ruby Freeman and Shaye Moss for defaming them in 2020. As part of the agreement, while his bankruptcy case proceeds, the former NYC mayor is supposed to submit monthly expenditure reports to the court. He has filed those late and has not been transparent with the court. That led US Bankruptcy Court for the Southern District of New York Judge Sean Lane to say he is “leaning toward dismissal” because he fears the past is a signal of more of the same to come.

Then, there’s the issue of Giuliani’s assets. Because of his filing, he has an obligation to provide the court with documents showing his net worth, yet he has never done so. He claims to owe more than $153 million, while he only has $11 million in assets. The goal behind filing bankruptcy was to stave off payments to Moss and Freeman while he appeals the case. In order to do so, he needs to put up a bond equal to what he owes them.

Giuliani has filed several motions, including one to extend the time he has to file his reorganization plan and another to switch from Chapter 11 to Chapter 7 bankruptcy — a move he later decided didn’t suit him.

In a court hearing via phone, the plaintiffs argued for dismissal, which would allow Giuliani’s creditors to pursue lawsuits, repossessions, and foreclosures of his property to fulfill debts owed. The former attorney was inflammatory during that meeting, frequently cutting in with outbursts accusing the prosecuting attorney of defamation when she suggested his actions might equate to bankruptcy fraud and land him in prison.