Judge Dismisses Rudy Giuliani’s Bankruptcy Filing Allowing Creditors To Claim His Property

On Friday afternoon, Judge Sean Lane dismissed Rudy Giuliani‘s bankruptcy filing, a move that will allow his many creditors to seize his property within days.

“Mr. Giuliani has failed to provide an accurate and complete picture of his financial affairs in the six months that this case has been pending,” Lane said in the decision. “The lack of financial transparency is particularly troubling given concerns that Mr. Giuliani has engaged in self-dealing and that he has potential conflicts of interest that would hamper the administration of his bankruptcy case.”

On Wednesday, Giuliani consented to dismissal, though he jumped in during the proceeding to fight his creditors’ accusations he committed bankruptcy crimes. After multiple interjections, Lane paused arguments to address the “same cellphone” repeatedly interrupting arguments by a lawyer for Georgia election workers Shaye Moss and Ruby Freeman.

“Let me ask in court if we can make sure to have that muted, please,” Lane said.

“Your honor, this is Rudolph Giuliani,” the ex-mayor replied.

Giuliani insisted he should be allowed to push back against the prosecution, who had just warned that his conduct throughout the bankruptcy could force the judge to “entertain putting America’s mayor in prison.”

“So I’m going to ask you to listen to me, and if you don’t, I’m going to have to cut you off,” Lane told Giuliani, which silenced the defendant.

Giuliani, who was found guilty of falsely accusing Moss and Freeman of 2020 election fraud, is facing pressure from his creditors who have accused the former lawyer of using bankruptcy as a delay tactic while he hides assets. Moss and Freeman hope to dismiss the bankruptcy, which would unfreeze their lawsuit and allow them to begin collecting their $148 million award.

The election workers’ lawyer, Rachel Strickland, argued that, if the bankruptcy continued, many of Giuliani’s assets would go to administrative expenses instead of her clients.

“The beginning, middle and end of this case has been about my clients and their judgment, to highlight with a bad-faith litigation tactic,” she said. “Mr. Giuliani hasn’t even pretended to comply with the duties and responsibilities as a debtor in possession. He regards this court as a pause button on his woes while he continues to live his life unbothered by creditors. The case should be dismissed.”

Moments before the hearing, Giuliani’s team agreed with Moss and Freeman’s proposal.

“I don’t think that’s to the benefit of the creditors to have the assets go to pay professional fees,” Giuliani’s attorney said in court. The U.S. Trustee Program did not take a position on the subject.

This is the latest in a series of blows for Giuliani, who was officially disbarred in New York for lying in court about the 2020 election earlier this month.

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