Lil' Kim has filed for Chapter 13 bankruptcy protection in New Jersey after her mortgage company foreclosed on her gated mansion. She also owes $1.47 million in back taxes to the IRS. All in all, the diminutive rapper has more than $4 million in secured and unsecured debts. She filed her request for bankruptcy protection on May 8th, just three days before her 6,026 square foot home was set to go up for auction. The new date for the auction is June 28th.
Lil' Kim is $664,474 behind on her payments for the house. She is claiming that her income has dropped from $823,659 in 2016 to $398,000 last year. She submitted a proposal that would allow her to restructure her mortgage and would sell the home by May 2019. According to the filing, Kim has a monthly income of $18,286 and her monthly mortgage payment is $6,610. Kim bought her mansion in 2002 for $2.3 million. Her assets include a 2000 Mercedes with a value of $4,200, a 2005 Bentley worth $52,600, and jewelry worth $25,000. She has $2,500 in available cash.
She spends $2,200 a month on wardrobe, $10,410 a month on travel and entertainment, and $2,317 on staff. In addition to the $1.47 million she owes the IRS, she owes $376,346 to the state of New Jersey for back taxes.. She has unpaid legal bills in the amount of $186,000.
All in all, her assets total $2,573,300 and her liabilities are in the amount of $4,084,841.60
She offered to pay a creditor $5,500 a month for the next 60 months to straighten out her finances. The trustee for the New Jersey bankruptcy court denied this proposal. There is a hearing scheduled for July.
Lil' Kim has a net worth of a -$2 million.