Former U.S. Congressman Files for Chapter 7 Bankruptcy Citing $7 Million in Debt

A Louisiana congressman has filed for Chapter 7 bankruptcy protection, claiming that he and his wife are more than $7 million in debt.

Former U.S. Rep. William Jefferson and his wife Andrea filed for Chapter 7 after William was convicted on federal corruption charges.

According to the bankruptcy filing, the Jeffersons are approximately $7.1 million in debt and have about $2 million in assets. $5.7 million of the Jefferson's debt is owed to the law firm that defended Jefferson against his charges.

In August, Jefferson was convicted of 11 of the 16 counts he was facing for using his political influence to broker business deals in Africa.  As part of his sentence, Jefferson was ordered to forfeit about $470,000 in bribery receipts.

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Under Chapter 7 bankruptcy, a debtor can eliminate his or her debt by liquidating his or her non-exempt assets.  To learn more about filing for bankruptcy protection under Chapter 7, click here to find a bankruptcy lawyer near you.