A federal judge in New York dismissed Rudy Giuliani's bankruptcy case, allowing creditors, including two former Georgia election workers who won a $148 million defamation claim against him, to pursue and possibly seize his assets.
U.S. Bankruptcy Judge Sean Lane's decision came nearly seven months after Giuliani sought bankruptcy protection to avoid paying damages to Ruby Freeman and Shaye Moss, whom he accused of election fraud in 2020.
Creditors accused Giuliani of using the bankruptcy proceedings to hide assets and avoid payment. The ruling permits Freeman, Moss, and other creditors to pursue legal remedies to collect money owed to them. Additionally, lawsuits against Giuliani, including defamation claims by Dominion Voting Systems and Smartmatic and a harassment claim by Nicole Dunphy, can now proceed.
Giuliani’s bankruptcy filings indicated $153 million in debts and approximately $11 million in assets, including a New York apartment and a Florida condo. However, creditors argued Giuliani had not provided a complete picture of his finances. Despite listing various assets, Giuliani was criticized for incomplete financial disclosures and failing to meet court deadlines.
Initially filing for Chapter 11 bankruptcy in December, Giuliani later sought Chapter 7 protection and then abruptly requested case dismissal. His creditors viewed these actions as delay tactics.
