TV Wife’s Real Bankruptcy
Posted on Aug 23, 2010 10:25am PDT
You don't have to watch reality TV, or any television for that matter, to learn about the high-profile Chapter 7 bankruptcy case of Joe and his "Real Housewife" Teresa Giudice. The couple has made mainstream news, The Wall Street Journal and Philadelphia Inquirer to name just two, as the excesses they share in their TV personas has a much higher take-home price tag, and comes with many discrepancies.
The Giudice's had agreed to part with everything, in exchange for keeping their mansion in Towaco, New Jersey. The home was built during Season One and, though not paid for or requested by the network, is mostly marble and was achieved by a "no expense spared decorating spree."
Teresa Giudice's salary from the Bravo-aired show, "Real Housewives of New Jersey," is $3,333.33 per month.
The 62 pages of the filing showed $2 million in assets with $8 million in liabilities, most of which was for the construction of their home. Some is due to credit card debt at high fashion stores Neiman Marcus, Nordstrom's and Bloomingdale's. The rest? To the city of New York for traffic tickets and to Verizon in phone bills.
The document itself warranted some discrepancies. The $400 per month shown for clothing expenses doesn't come near to what is worn on the TV show, or seen spent outfitting the Giudice family.
What they offered to give up was their daughter's sleep sets, go-carts, dogs and their own mattress.
While the bankruptcy protection was quietly filed in North Jersey, a month before, fans of the show watched as Teresa Giudice gave birth to the couple's 4th daughter - then saw them both fashionably transformed by a quick change to matching leopard and feather hats and loungewear - in the hospital.
In another episode, producers aware of the couple's bankruptcy, the audience was treated to another glimpse of life for Teresa Giudice: nine-year-old Gia's birthday party, made complete by a pink Hummer limo ride and a rented hair salon for the afternoon's guests.
Teresa Giudice worried, on screen, about the excesses bestowed on a child, but not for long, as she then drove off in her Maserati for her next "episode"
At this time the Giudices are facing a lawsuit that will prevent them from taking advantage of the debt discharge that is normally given to people under the Bankruptcy Code. John Sywilok, in charge of looking at the assets in the case and distributing to creditors, alleges that they did indeed conceal documents.
Among the items found that were not documented include interests in a pizza parlor, laundromat, Teresa Giudice's cookbook, as well as her clothing and accessories line.
Coupled with this are their false statements under oath.
The couple's notoriety may help to add value for their personal items now on the auctioneer's block August 22. Fans, curious shoppers, and just about anyone with an interest will be able to choose among the couple's collection of home furnishings, accessories, tools and a boat to boot.
If you have questions about filing a Chapter 7 or Chapter 11 bankruptcy, contact a Bankruptcy Attorney near you to help.