19
Jun
2018

EXCLUSIVE: Lil Kim’s Bankruptcy in Danger of Being Dismissed, $4 Mill Debt May Not Being Wiped Clean

Written by TJB Writer in Blog

Lil Kim

EXCLUSIVE: Lil Kim’s Bankruptcy in Danger of Being Dismissed, $4 Mill Debt May Not Being Wiped Clean

theJasmineBRAND exclusively reports, Lil Kim’s (real name Kimberly Denise Jones) bankruptcy case is in danger of being dismissed and her debt NOT being wiped clean, due to the trustee objecting to her proposed repayment plan.

Last month, the 41-year-old rapper filed for Chapter 13 bankruptcy. This month, the United States Bankruptcy Court District of New Jersey submitted an objection to her request for loss mitigation. The doc explains,

The Chapter 13 Standing Trustee objects to Kimberly Jones’s Request for Loss Mitigation. Based upon Ms. Jones’s own schedules, she is clearly ineligible to be a Chapter 13 Debtor under 11 USC 109(e) with secured and unsecured debt each exceeding $2 million. Since Ms. Jones is not eligible to be a Chapter 13 Debtor, she should not be afforded the benefit of the Court’s Loss Mitigation Program in connection with this Chapter 13 Case. Once Ms. Jones coverts this case to a proper Chapter of the Bankruptcy Code, then she can renew her application for loss mitigation at that time if appropriate.

Based on the bankruptcy docs, Kim owes close to $2 million in back taxes alone ($1,845,451). Her larger creditors include unpaid federal taxes (from 2004 – 2017) and a loan company for close to $1.5 million. She proposed a plan that would allow her to pay $5,550 per month for 60 months.

Earlier this month, Kim responded to reports of her having financial difficulties. In a social media video posted of her from her daughter’s birthday party, she stated,

Let me tell you something, when you are a child of God, you can’t be touched boo! It ain’t going to happen.

CLICK HERE FOR THE VIDEO.

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