When filing for bankruptcy, it is of the utmost importance to be truthful in disclosing your debts, as well as your assets as “Real Housewives of New Jersey” star Teresa Giudice has found out. The television star has found herself in a tough situation by not disclosing certain pertinent information in her bankruptcy hearing a couple of years ago.
According to reports, the couple claimed more than $11 million in debt in their bankruptcy filing. The following year, it was alleged Giudice withheld a $250,000 advance she got for a book she was writing and a business bank account. She could face six months to one year in jail if convicted for the alleged withholdings. Also, Giudice’s husband still owes $260,000 but Teresa was cleared of wrongdoing in the case against her husband’s business partner.
Deciding to file bankruptcy is not a light decision. Sometimes negotiations with creditors do not go as well as had been planned. Other times, filers may have assets that they do not want to be included in their bankruptcy hearing. As in any financial dealings, the best bet is to be honest. Not only is this the ethical road, but it also helps avoid the type of litigation that the Housewives star is facing.
Filing for bankruptcy is a complicated process that can take a toll on the people involved. There are many details that, if not done carefully, could lead to unintentional mistakes. If you are facing debts and creditors calling you at all times of the day, contacting a qualified New Jersey attorney to help file for bankruptcy may be a good option.
Source: New Jersey News Room, “Real Housewives of N.J.’ star Teresa Giudice faces financial and anti-Semitic allegations,” Bob Holt, Aug. 25, 2011