Rudy Giuliani’s bankruptcy case dismissed by judge, clearing way for collection of damages

Rudy Giuliani's bankruptcy case dismissed by judge, clearing way for collection of damages

A federal bankruptcy court judge dismissed Rudy Giuliani’s bankruptcy case Friday, saying it is “in the best interests of creditors.”

The decision exposes Giuliani to lawsuits, foreclosures and other measures that allow creditors, including two defamed Georgia election workers, to collect what they’re owed by the former New York City mayor.

The decision followed months of missed deadlines by Giuliani, who evaded questions about his finances.

“The record in this case reflects Mr. Giuliani’s continued failure to meet his reporting obligations and provide the financial transparency required of a debtor in possession,” the decision said. “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.”

Giuliani filed for bankruptcy in December 2023 after a jury ordered him to pay nearly $150 million in fines and damages to former election workers Ruby Freeman and Shaye Moss for defaming them with false accusations that the mother and daughter committed election fraud while the two were counting ballots in Georgia’s Fulton County on Election Day in 2020.

An attorney for Freeman and Moss said following Friday’s ruling that they would seek to enforce the judgment against Giuliani.

Rudolph Giuliani, former mayor of New York, attends a ceremony at the National September 11 Memorial Museum in New York, Sept. 11, 2022.

Bonnie Cash/UPI/Bloomberg via Getty Images, FILE

“We’re pleased the Court saw through Mr. Giuliani’s games and put a stop to his abuse of the bankruptcy proceeding,” said attorney Rachel Strickland. “We will move forward as quickly as possible to begin enforcing our judgment against him.”

The dismissal will also allow Giuliani to appeal the defamation judgment.

“This whole bankruptcy case was burdened with many of the same voluminous and overly broad discovery requests and other actions — including regular leaks of information — intended to harm the mayor and destroy his businesses,” said Giuliani’s political adviser Ted Goodman, following the ruling.

“We will continue to pursue justice and we are confident that — in the long run — our system of justice will be restored and the mayor will be totally vindicated,” Goodman said.

ABC News’ Lucien Bruggeman contributed to this report.

Former New York City Mayor Rudy Giuliani’s bankruptcy case has been dismissed by a judge, clearing the way for the collection of damages against him. The case, which was filed in August 2020, sought to discharge over $1.3 million in debt that Giuliani owed to various creditors.

Giuliani’s financial troubles began to mount after his work as former President Donald Trump’s personal attorney led to numerous legal challenges and controversies. The bankruptcy case was seen as a last-ditch effort to avoid paying his debts, but the judge ultimately ruled against him.

In dismissing the case, the judge cited Giuliani’s failure to disclose key information about his finances and assets. This lack of transparency raised red flags and ultimately led to the dismissal of the case.

Now that the bankruptcy case has been thrown out, Giuliani will be required to pay back the debts he owes to his creditors. This could have serious financial implications for the former mayor, who has seen his reputation tarnished in recent years due to his association with Trump and his involvement in spreading false claims about the 2020 election.

Giuliani’s legal troubles are far from over, as he is also facing multiple lawsuits related to his role in promoting baseless conspiracy theories about election fraud. The dismissal of his bankruptcy case is just the latest setback for Giuliani, who once enjoyed a reputation as a respected prosecutor and politician.

Overall, the dismissal of Rudy Giuliani’s bankruptcy case is a significant development that could have far-reaching consequences for his financial future. It serves as a reminder that even high-profile individuals are not immune to the consequences of their actions and must be held accountable for their debts.