The deal, filed on Jul. 31 in White Plains, New York, helps the disgraced attorney alleviate a possible deep dive into his personal finances after threats from a federal judge.
The agreement comes just three weeks after Judge Sean Lane dismissed Giuliani’s bankruptcy case and criticized him for several failed attempts to disclose his income sources and comply with court orders. After the case was dismissed, Giuliani’s legal team claimed he didn’t have enough money to pay the creditors’ forensic financial adviser, which was required under bankruptcy laws.
Lane called his claims “troubling.”
“Even assuming that the Debtor does not have the funds on hand to immediately pay these bankruptcy expenses, he certainly has considerable assets upon which he can draw to pay such expenses,” Lane said in an order dated Jul. 25.
The claims prompted Lane to order all involved parties to submit suggestions on how to end the case by noon on Jul. 31 and prepare for a potential evidentiary hearing on Giuliani’s finances if a deal couldn’t be reached. The judge has to sign off on the agreement, which was filed less than three hours before the deadline.
Freeman and Moss can secure enforcement and payment of the $148 million verdict in federal court in Washington, D.C., where they won their case. Because of the bankruptcy, the collection efforts were put on hold.
Source: Black Enterprise
