Katie Price ‘could lose her Mucky Mansion in upcoming bankruptcy hearing over £3.2m in debt’
Katie Price could reportedly lose her Mucky Mansion in an upcoming bankruptcy hearing.
The 45-year-old former model, who was previously worth £45million, was declared bankrupt in 2019 and now has £3.2million in debt.
A judge will assess her financial situation on Thursday, The Sun reports, and she may have to flog the Sussexes’ sprawling home in order to get the money she needs.
The magazine claims it paid £1.3m for the house nine years ago, and it is now worth more than £2m.
The star previously agreed to pay creditors £12,000 a month, but did not stick to the deal, according to those owed the money.
Those handling her bankruptcy reportedly have the power to sell Katie’s Mucky Mansion to satisfy her debts if they see fit.
Legal notices placed on the house prevent her from selling the Sussex pad herself, and the Sun continues to demand.
Katie’s representatives have been contacted by MailOnline for comment.
During a brief hearing in a specialist insolvency and companies court in July – where Katie did not attend and was not represented – the court was told that a public examination into her finances had previously been postponed.
Lawyer Darragh Connell said the trustees were seeking to reinstate the interrogation after it breached the payment agreement.
“We are now at a stage where this matter needs to be dealt with urgently,” Connell told the court.
Judge Paul Greenwood said a hearing at which Ms Price will be questioned about her finances would be listed for the first available date after July 21.
Justice Greenwood said it “seems right, even inevitable” to include the one-day examination “as quickly as the court can accommodate it”.
During an appearance on Channel 5’s Jeremy Vine Show in March this year, Ms Price discussed her bankruptcy and how she had been struggling with her mental health in recent years.
“You shouldn’t be ashamed if you go bankrupt, because people go bankrupt for different reasons,” she said.
“I’ve been going through a really hard time over the last three years, with mental health and this and that.
“And when you’re going through that, you might get bills and put everything aside because you can’t handle anything.”
During a previous court hearing in October 2020, Ms Price apologized to the court, adding: “I was unable to deal with these issues or in the appropriate frame of mind to understand everything that was going on.”
She also said creditors and administrators may think her dealings with them are “too little, too late” but that “progress is real” and she has provided financial information.
Earlier this summer, she hit back at online trolls who questioned her about her bankruptcy, insisting she still owned her £2.5million home.
Speaking on TikTok Live on Tuesday, she answered questions from her followers, urging online bullies “not to hit anyone”.
She said: “I’m broke, yes, but I still have my £2.5million house and I’m sitting here in the kitchen doing TikTok with you.”
“Never hit a broke person, we can all go there but that doesn’t mean it’s all bad.”
Katie continued: “Yes, my company has gone bankrupt and you are dealing with it, right?” So, never hit anyone because it may happen to you.
In April, the model dodged a court hearing for the fifth time, as she was set to answer questions about her £3.2 million debt.
(Tags for translation) Katie