Charlotte Bankruptcy Lawyer Bryan W. Stone of Arnold & Smith, PLLC answers the question “What are my alternatives to bankruptcy ?”
As we discussed on Tuesday, the rapper 50 Cent (also known as Curtis James Jackson III), has found himself in legal hot water after the bankruptcy judge presiding over his case caught wind of recent social media posts that seem to indicate the rapper is worth far more than his stage name implies. In a series of Instagram and Twitter updates, 50 Cent posted photographs of himself sleeping with, standing next to and spelling words out of giant stacks of money.
The bankruptcy judge presiding over the case was dismayed by the updates, noting that the bankruptcy process exists to help those who are in truly desperate financial condition and in need of the protection of the court, not secretly wealthy scofflaws. In 50 Cent’s case, it seemed like the bankruptcy filing was a ploy to evade paying a series of recent judgments against him, one for $7 million involving a leaked sex tape and another $17 million judgment concerning a business deal gone bad.
The judge has asked that 50 Cent and his attorneys prepare for questions about the validity of the bankruptcy petition, explaining that she intended to find out how someone with such serious alleged financial problems could maintain such a glamorous and flashy lifestyle. As if his troubles weren’t bad enough, it now seems like 50 Cent will have even more explaining to do after the Daily Mail uncovered recent bankruptcy documents that indicate the rapper is far from broke.
According to the documents, which were the result of work done by a team of appraisers trying to confirm 50 Cent’s financial condition, the rapper has far more money tucked away than was previously identified. The papers indicate that 50 Cent has assets worth over $64 million and liabilities of less than $36 million. In total, that works out to a net worth of nearly $30 million.
More specifically, the appraisers uncovered over $10 million in checking accounts and stocks, several million in other investment funds and businesses worth over $44 million. In addition to these larger amounts of money, 50 Cent receives monthly income of nearly $200,000, including royalty income of more than $30,000 a month from his previous hits. 50 Cent also has hundreds of thousands worth of home goods and personal items, all things that could be liquidated and sold to cover his debts if need be.
In his initial Chapter 11 filing, 50 Cent declared assets of between $10 and $50 million and claimed to have liabilities equal to this amount. It now seems that one or both of these estimates was incorrect. The bankruptcy judge presiding over 50 Cent’s case will need to take the new information into consideration when deciding how to move forward. The recent news, in conjunction with the already serious skepticism related to 50 Cent’s social media behavior, makes some people question his chance of success. If he’s able to convince the judge that he’s genuinely broke, then he might succeed in getting out from under his debts. If the judge doubts his sincerity, 50 Cent will be on his own and likely need to shell out millions to resolve the lingering legal troubles, meaning those Instagram updates will prove to have been quite costly.
If you are contemplating bankruptcy in the Charlotte area, please call the skilled lawyers at Arnold & Smith, PLLC find additional resources here. As professionals who are experienced at handling all kinds of bankruptcy matters, our attorneys will provide you with legally sound advice for your particular situation.
About the Author
Kyle Frost joined Arnold & Smith, PLLC in 2013 where he focuses his practice on all aspects of civil litigation and bankruptcy, including: Chapter 7, Chapter 11, Chapter 13, home loan modifications and landlord-tenant issues.
Born and raised in upstate New York, Mr. Frost attended the University at Albany on a Presidential Scholarship, graduating magna cum laude with a double major in Political Science and Sociology. He went on to attended Wake Forest University School of Law in Winston Salem, North Carolina.
Following college, Mr. Frost spent over a year teaching English in South Korea. He worked in a private school in Seoul developing curriculum, English programs, and educating both children and adults that were interested in learning a new language.
In his spare time, Mr. Frost enjoys homebrewing, fishing, and travelling.
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