Rudy Giuliani, the embattled former New York City Mayor, is fighting back against creditors who demand that he sell his $3.5 million Florida condo in his recent bankruptcy case, RadarOnline.com has learned.
The embattled former New York City Mayor filed papers Thursday opposing a bid by a group of creditors in his Chapter 11 bankruptcy case seeking to recoup their debts — specifically asking that he be forced to part with his Palm Beach home.
Giuliani's legal team argues that he needs the Sunshine State property to grow his broadcast income by using it as a base for his radio and podcast shows, saving him the cost of renting studio space.
The move comes as Giuliani plans to sell his Manhattan apartment and permanently relocate to his Florida home.
Giuliani's only sources of income are his Social Security benefits and earnings from his shows, making it essential for him to maintain his broadcasting capabilities.
Meanwhile, the former mayor faces significant financial challenges, such as a $148 million civil judgment related to defamation claims from two former Georgia election workers.
Despite this, Giuliani believes he may win an appeal or reduce the judgment, making it premature to sell his Florida residence to satisfy debts.
The creditors in the bankruptcy case argue that Giuliani is displaying "reckless abandon and improper judgment" by holding onto the Palm Beach property.
They insist that the $3.5 million condo should be sold to pay off his debts. However, Giuliani's lawyers defend his decision, stating he has a valid business justification for retaining the residence.
Giuliani's plan to list his Manhattan apartment for $5 million through Sotheby's is also expected to significantly reduce his monthly expenses.
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Giuliani, once known as "American’s Mayor" after his handling of the response to the Sept. 11, 2001, terrorist attack, says he might win an appeal of that judgment or at least hoped to get it drastically reduced.
“It appears that the Committee [on Unsecured Creditors] is assuming that most if not all of the Freeman judgment will survive on appeal, and is proceeding as if all of the [Giuliani’s] assets need to be liquidated now to satisfy a potentially inflated claim,” the court papers read.
The filing claimed that Giuliani “could be irreparably harmed if the Florida residence is sold and later it turns out that the Freeman judgment is vacated.”
