Last week, Judge Sean Lane tossed out Rudy Giuliani‘s bankruptcy case, ruling that the former New York lawyer had been evasive about his assets.
The ruling was in favor of former Georgia election workers Shaye Moss and Ruby Freeman, whom Giuliani owes $148 million after he was found guilty of accusing them of 2020 election fraud.
“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,” Lane said in his decision.
Lane ruled that Giuliani failed to turn over any financial information about his companies, failed to submit monthly reports and initially hid a deal he made for his upcoming book.
“The lack of transparency – apparently even to Mr. Giuliani’s own counsel – raises significant concerns about Mr. Giulinai’s ability and willingness to manage the bankruptcy estate in the best interest of his creditors,” Lane continued. The judge said Giuliani’s deal with a coffee brand was only revealed to his creditors through media reports.
At a hearing on Wednesday, Moss and Freeman argued that the case should be thrown out due to Giuliani’s neglect of bankruptcy rules. Even the defendant’s lawyer agreed this was the best decision, as it would allow his client to start an appeal of the $148 million he owes the election workers.
The ruling bans Giuliani from filing for bankruptcy for a year to allow creditors time to enforce judgments or close pending cases.
The 80-year-old former prosecutor filed for bankruptcy in December, weeks after he lost the lawsuit brought by Freeman and Moss. Following his bankruptcy dismissal and his recent disbarment, he still faces two criminal cases in Arizona and Georgia for his alleged efforts to interfere in the 2020 election.
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