Bankruptcy trustee should take over Giuliani’s assets, creditors’ attorneys say

A bankruptcy judge should appoint a trustee to immediately take control of Rudy Giuliani’s financial affairs after the former mayor repeatedly lied and deceived creditors about his finances, lawyers for the creditors said in a Tuesday court filing.

Among other things, the lawyers said Giuliani was funneling money into his businesses to avoid it going to creditors, undervalued his jewellery, and refused to disclose what several Apple and Amazon purchases were for. Giuliani filed for bankruptcy in December, shortly after a jury in Washington DC ordered him to pay $148.1m in damages to Ruby Freeman and Shaye Moss – two Atlanta, Georgia, election workers he spread lies about after the 2020 election.

“Over and over again, the Debtor has shown his preference for delay, diversion and theatrics over progress, rehabilitation and maximization of value for his creditors. His creditors do not need to accept this as their plight,” lawyers for creditors wrote. “Accordingly, the time has come for the immediate appointment of a chapter 11 trustee to take control of the Debtor’s assets and financial affairs, including his wholly-owned businesses.”

Ted Goodman, a Giuliani spokesperson, did not respond to a text message seeking comment.

The lawyers representing creditors said they only became aware of Giuliani’s deal to promote a coffee brand through press reports earlier this month.

Giuliani receives 80% of the net proceeds of the sale of each bag, which is paid to Giuliani Communications, an LLC he owns, according to the contract. That arrangement was intentional, they said, to ensure that profits from the deal did not go to creditors.

“These facts suggest that Mr Giuliani, a debtor in a chapter 11 case with more than $148 million of claims