Rudy Giuliani, the former mayor of New York City, is reportedly depleting his financial reserves to circumvent his creditors, according to a recent claim made by a lawyer in court.
Rachel Strickland, representing two Georgia election workers, voiced her concerns to a New York bankruptcy judge, alleging that Giuliani had been spending lavishly on first-class air travel for himself, his girlfriend, and his assistant to attend the Republican National Convention in Milwaukee.
According to Newsweek, Giuliani filed for bankruptcy in December following a jury's decision to award $148 million to Ruby Freeman and Shaye Moss, two Georgia election workers who had successfully sued him for defamation. Giuliani, who served as Donald Trump's attorney in 2020, had falsely accused Freeman and Moss of adding ballots in favor of Joe Biden, who ultimately won the state.
Strickland, hired by Freeman and Moss to recover assets from Giuliani, issued a statement on Thursday, saying, "Giuliani is pleading poverty to the Bankruptcy Court while flying first class with his assistant and girlfriend to the convention." She further added, "Creditors will not sit idly by while Giuliani thumbs his nose at those he's harmed and the Court."
Lisa Rubin, a legal analyst for MSNBC, expressed her concerns on X, formerly known as Twitter, stating that "Wednesday's hearing devolved into complaints" about Giuliani's continued efforts to "waste and hide" his wealth. She noted that Strickland had even read from Giuliani's bank statements in court to demonstrate his extravagant spending, including $25k on maintenance for his Florida condo and expenses associated with attending the RNC.
During the hearing, Strickland alleged that Giuliani had spent nearly half of the funds in his personal bank account within the past week. She informed Judge Sean Lane of "Giuliani shenanigans yet again," revealing that Giuliani's bank account, which held $60,000 a week ago, was now half-depleted. She highlighted his expenditure of a $14,000 check on condo expenses and $25,000 in fees for another condo in Palm Beach, Florida, in addition to his first-class trip to the Republican National Convention in Wisconsin.
While Strickland is advocating for Giuliani's emergence from bankruptcy, lawyers representing some of his other creditors have opposed this, opting instead to pursue his assets through the bankruptcy process. In a letter to Judge Lane on July 16, four of Giuliani's lawyers from the Berger, Fischoff law firm in New York, argued that the creditors "want it both ways." They wrote, "They want the case dismissed while they exercise complete control over the debtor," and objected to a trustee being appointed over Giuliani's estate.
Giuliani's legal team has proposed an order for him to emerge from bankruptcy without the appointment of a trustee. This ongoing legal battle underscores the complexities of bankruptcy proceedings and the challenges faced by creditors in recovering their dues. It also raises questions about the ethical implications of Giuliani's alleged actions, particularly in light of his previous position as a public servant.
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