Patricia Kluge, the socialite who was once tagged as the "the wealthiest divorcee in history" filed for personal bankruptcy protection citing debts somewhere between $10 million and $50 million and assets between $1 million and $10 million.
Kermit Rosenberg, Kluge and her husband William Moses' lawyer says, "They're getting on with their lives, trying to discharge their debts and start over."
Kluge, who had formerly been married to media mogul John W. Kluge, acquired the 23,000 square-foot Albermarle House plus 3000 acres of rural Virginia land and a reported settlement of a billion dollars from his late billionaire husband in 1990 - the biggest divorce settlement in history at that time.
Reports said that Kluge hosted parties for royalty, corporate chieftains, celebrities, and literary figures. She also lived in a 23,500-square-foot mansion, owned a winery and, by all accounts, lived the good life.
Kluge financial problems reportedly started during the economic downturn. Creditors started seizing her assets. Kluge and her husband also allegedly defaulted on three loans on the Albemarle House that total roughly $23 million and loans for a winery that totaled roughly $35 million. It was reported that they had attempted to renegotiate their loans with various banks, but failed.
Kluge tried to save the struggling winery by having an on-site auction hosted by Sotheby's and liquidating much of her jewelry. But both were unsuccessful, the AP reports.
In April, Donald Trump bought most of Kluge's winery and vineyard from Farm Credit Bank for $6.21 million.
Kermit Rosenberg, Kluge and her husband William Moses' lawyer says, "They're getting on with their lives, trying to discharge their debts and start over."
Kluge, who had formerly been married to media mogul John W. Kluge, acquired the 23,000 square-foot Albermarle House plus 3000 acres of rural Virginia land and a reported settlement of a billion dollars from his late billionaire husband in 1990 - the biggest divorce settlement in history at that time.
Reports said that Kluge hosted parties for royalty, corporate chieftains, celebrities, and literary figures. She also lived in a 23,500-square-foot mansion, owned a winery and, by all accounts, lived the good life.
Kluge financial problems reportedly started during the economic downturn. Creditors started seizing her assets. Kluge and her husband also allegedly defaulted on three loans on the Albemarle House that total roughly $23 million and loans for a winery that totaled roughly $35 million. It was reported that they had attempted to renegotiate their loans with various banks, but failed.
Kluge tried to save the struggling winery by having an on-site auction hosted by Sotheby's and liquidating much of her jewelry. But both were unsuccessful, the AP reports.
In April, Donald Trump bought most of Kluge's winery and vineyard from Farm Credit Bank for $6.21 million.
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