Former New York mayor and Trump ally Rudy Giuliani is facing a personal bankruptcy case, and one of the businesses he’s using to recover financially, a Florida-based coffee roaster, is also reportedly bankrupt.
In May, Giuliani launched Rudy Coffee, a signature coffee line with politically-themed flavors like “Fighting for Justice” and “America’s Mayor.” His partner in the venture is Burke Brands, the South Florida-based maker and distributor of Don Pablo coffee.
Burke Brands filed for Chapter 11 in December 2022, almost a year before Giuliani filed for bankruptcy in December 2023 after being ordered to pay $148 million to Georgia election workers in a defamation case.
Despite facing financial challenges, Burke Brands managed to emerge from Chapter 11 and save the jobs of its 75 employees. However, the company recently sought to modify a court-approved plan to pay back creditors, asking for monthly payments instead of large installments.
Giuliani’s creditors have raised concerns about his deal with the coffee roaster, alleging that it funnels money into a corporate account linked to Giuliani to divert income away from his debts. They criticized his spending habits, pointing out numerous transactions for entertainment and luxury items.
In a recent development, the judge in Giuliani’s bankruptcy proceedings approved a plan to sell his multi-million dollar apartment through Sotheby’s International Realty. This decision could potentially cost Giuliani his apartment, jewelry, and prized Joe DiMaggio replica shirt.
Giuliani’s bankruptcy case continues to unfold, with creditors closely monitoring his financial dealings and expenditures. The former mayor’s financial troubles serve as a cautionary tale about the consequences of mismanagement and overspending.