Giuliani bankruptcy judge frustrated by case rejects attempt to challenge $148 million judgment

The judge overseeing Rudy Giuliani’s bankruptcy case said he was “disturbed” by little progress in repairing his finances, and refused Tuesday to clear a legal hurdle that has kept the former New York mayor from York to appeal $148 million defamation judgment.

Giuliani declared bankruptcy in December after being ordered to pay a staggering sum to two former election workers for spreading a false conspiracy theory about their role in the 2020 election.

Since then, Giuliani has failed to meet deadlines for filing financial disclosure reports. He failed to sell residences in New York and Florida. Last week, he was suspended from WABC Radio, where he broadcast a daily show, due to what the station called his repeated violation of a ban on discussing discredited claims from the 2020 election.

“They didn’t do anything. They didn’t sell anything. They didn’t settle anything,” said Rachel Strickland, an attorney representing election workers. She accused Giuliani of being fired voluntarily by “deliberately disregarding his employer’s restrictions.”

“I agree with you,” replied U.S. Bankruptcy Judge Sean Lane. “And I am disturbed by the state of this case.”

Giuliani’s lawyers said he had additional work in the works to bring in money, although they did not specify what type of work it was. Giuliani’s Manhattan apartment could soon be liquidated, they said. His lawyers said the issues had been resolved and the necessary financial documents would also be filed. Giuliani is facing accusations from a slew of people who say he potentially owes them money.

“They finally, I think, got things on the right track,” said his lawyer, Heath Berger.

The judge, however, denied a request from Giuliani to lift the automatic stay so he could continue trial after judgment in the defamation case. Lawyers for the creditors argued that this would delay the bankruptcy proceedings.

Lane also responded to a request from attorneys for election workers to bar Giuliani from making further defamatory statements against them. While awaiting a decision, Lane said there was already a court ruling on the issue and he was “not going to let this court be used as a place where parties can flout the requirements of the law.” .

“Tell your client to stop,” Lane told Giuliani’s lawyers. “It’s not complicated.”

The lawyers will meet with the judge again on Thursday to discuss the matter.