“Real Housewives of New Jersey,” corrupt couple, Teresa and Joe Giudice’s bankruptcy is coming to a close.
John Sywilok, the bankruptcy trustee overseeing their case has entered his final report. According to the report, Teresa and Joe Giudice have only paid $7,500 of their million dollar debt and still owe a whopping $13.4 million to their creditors. Once the Bankruptcy judge signs off on the trustee’s final report and the case is finalized, creditors can once again pursue their claims and recoup what’s owed to them.
“They are going to owe whatever they owed, as if they had not fought bankruptcy,” says Ronald LeVine, a Hackensack bankruptcy attorney unconnected with the case. “They’re completely stuck with their debt.”
That means their debt will NOT be ELIMINATED. Once their case is finalized in the courts, creditors can pursue liens against everything they own and garnish their Bravo paychecks, endorsement deals and book deal risiduals. The couple will be paying off the $13.4 million dollar debt for years to come. The trustee attempted to satisfy creditors through the Giudices’ homes and possessions, but they were mostly financed to the hilt. The final report states the trustee was able to secure $15,000 from the couple as an alternative to seizing and selling off their household goods and furnishings, but most of that went toward bankruptcy administrative costs.
The Guidice Mansion in Towaco, NJ
On March 4th, the couple pled guilty to a litany of felony charges; wire fraud, mail fraud, loan application fraud and perjury. The couple stole over $5 million from numerous banks. However, in spite of their legal drama, Teresa and Joe continue to live lavishly, splurging on luxury vacations, expensive gifts and extracurricular activities for their kids. The couple exhibit classic sociopath traits. They have no remorse or guilt for their actions or the people they hurt.
It was the couple’s 2009 bankruptcy filing that alerted the feds into their other criminal deeds. Had they not filed bankruptcy they could have potentially gotten away with their crimes.
The Giudice’s are awaiting sentencing on October 2. Joe Giudice faces a recommended sentence of 37 to 46 months, while Teresa Giudice faces up to 27 months or the possibility of house arrest.
Nancy Zhāng is an Entertainment Blogger for All About The Tea. Nancy covers hot topics, recaps and celeb news. She loves to multi-task as a writer and a private chef. She received a B.S. in Mass Communications from LSU. Nancy’s married and the proud mom of 2 German Shepherds.