Creditors of Rudy Giuliani are intensifying efforts to take control of his assets as his bankruptcy case progresses. After declaring bankruptcy in December following a $148 million defamation judgment against him, Giuliani's financial disclosures have been notably incomplete.
His creditors, frustrated by the lack of transparency, have hired a forensic accounting firm to investigate potential hidden assets and issued numerous subpoenas to Giuliani and his associates.
Tensions in ex-Trump attorney Rudy Giuliani’s bankruptcy case are coming to a head, with his creditors hoping for the drastic remedy of having a third party take control of the former NYC mayor’s finances.
More from @TheHill's @ZachASchonfeld:https://t.co/C2VvkA5gfF
— Steff Danielle Thomas (@SteffThomasNews) June 12, 2024
The creditors are particularly focused on Giuliani's claims of being owed $2 million in legal fees by former President Donald Trump for work related to contesting the 2020 election results. They argue that any additional funds recovered would contribute to repaying the substantial debt Giuliani owes.
A federal bankruptcy judge recently authorized an extensive forensic accounting of Giuliani’s finances. This move aims to clarify his assets and liabilities, scrutinizing his financial conduct leading up to and during the bankruptcy process.
Giuliani’s bankruptcy creditors to subpoena 9/11 charity acting as ‘financial safety net’ https://t.co/iF9PjaEjg4
— James F. Love IV (@JamesFLoveIV) June 10, 2024
Despite setting a $43,000 monthly budget, Giuliani reportedly spent nearly $120,000 in January, raising skepticism among his creditors about his financial management.
In response to the creditors' actions, Giuliani has resisted efforts to force the sale of his Palm Beach condominium, arguing that such measures are premature. However, creditors remain determined to uncover any financial mismanagement or concealed assets that could be used to settle his debts.
The investigation has also expanded to include Giuliani's son and former aides, further intensifying the scrutiny on his financial dealings. As the case unfolds, Giuliani faces mounting pressure to provide a complete and accurate account of his financial situation to satisfy his creditors and comply with bankruptcy proceedings.
This development marks a significant escalation in the legal and financial battles surrounding Giuliani, reflecting the broader implications of his high-profile legal troubles and financial distress.
