'Gossip Girl' Kelly Rutherford Emerges From Bankruptcy — But Her Ex-Husband Screwed Out $1.3M
Former Gossip Girl star Kelly Rutherford can breathe a little easier now that her Chapter 7 bankruptcy has officially been closed — but her ex-husband and divorce lawyers ended up being screwed out of millions owed by the actress, RadarOnline.com has learned.
As RadarOnline.com reported, Rutherford, 48, filed for bankruptcy in 2013, as she was drowning in debt and barely getting by.
Court documents showed the actress struggling to whittle down the over $2 million in legal fees that she owed in her nasty child custody battle over her son Hérmes and daughter Helena with German businessman ex-husband Daniel Giersch.
The couple's battle over their kids spanned the globe. In December 2015, as RadarOnline.com revealed, a judge in Monaco ruled that Rutherford had lost custody of her two young children and she would never be able to bring them to the United States. Rutherford was reportedly granted extensive visitation rights in France and Monaco.
Now, court documents reveal that on Thursday, April 27, the trustee filed his final report in Rutherford's bankruptcy case, explaining he has finished his work after more than three years.
The final report, filed in El Segundo, Calif., states that despite Rutherford owing about $3.264 million to various creditors, only a little more than $204,403 was disbursed. And the actress had about $3.382 million wiped clean in her case.
Rutherford owed her ex-husband Daniel Giersch a total of about $1.572 million, but the legal papers revealed that he will only be paid a sum of about $163,834 -- the remaining amount will be discharged.
The IRS' $272,000 claim will not be paid nor will her $52,000 state tax bill. American Express won't see a dime of their $36,000 claim nor will her divorce lawyers be paid on the $202,000 owed or the $1 million owed to Meyer Olson Lowy & Meyers, who represented the actress in her custody battle, according to the court report.
The judge signed off on the case being closed the same day, bringing an end to the more than three-year bankruptcy battle for Rutherford.
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