Rudy Giuliani Risks Losing Control of His Money in Bankruptcy

Rudolph Giuliani is staring down a massive change of course in his bankruptcy that puts his control of his finances at risk, and poses a substantial impact to his daily life.

His creditors’ request to appoint a trustee to take over administration of his Chapter 11 case is an uncommon step that reflects months of discontent from the people to whom Giuliani owes money. They repeatedly denounced his purported lack of cooperation with bankruptcy rules and accused him of hiding assets that could be used to help pay down his debts.

For Giuliani, the stakes are high. A trustee could ...