U.S. Bankruptcy Judge Sean Lane is considering whether to strip America’s Mayor, Rudy Giuliani, of control over his finances. On Monday, the judge heard two hours of arguments from attorneys representing Giuliani and his creditors, though the court declined to issue an immediate decision on the matter.
The former New York City mayor filed for Chapter 11 bankruptcy after a jury in December awarded two Georgia election workers an absurd defamation verdict. Ruby Freeman and Wandrea “Shaye” Moss were awarded $148 million over allegations they were defamed by Giuliani over claims the two engaged in a ballot fraud scheme in Fulton County, Georgia, during the 2020 presidential election.
“There are reasons to be very concerned here. I’m not going to beat a dead horse,” Judge Lane said before adjourning the court with no decision on the matter. The two women contend Giuliani‘s bankruptcy filing does not discharge him from paying the defamation award. However, the filing does allow the former federal prosecutor and New York City mayor to remain in control of his financial interests.
For several months, Giuliani‘s creditors have accused the Republican politician who led New York City through the 9/11 terrorist attacks of hiding his financial interests and using the bankruptcy filing to delay payment. At the Monday hearing, an attorney for the Freeman and Moss crassly accused Giuliani of conspiring to avoid payment: “He’s not a doddering 80-year-old. He is a shrewd and manipulative man. His reports are false, inconsistent, and late. His deadlines are ignored.”
Giuliani’s attorney, Gary Fischoff, contended that a full evidentiary hearing is needed before the judge can make any final decisions. He argued that the payment situation was improving and that current expenses were being paid through Giuliani‘s own money and not that flagged for creditors.
