Posted in: Celebrity News

Toni Braxton Bankrupt And Fraudulently Transferred Money, Trustee Says

toni braxton bankrupt 2012

Toni Braxton is bankrupt, TMZ says, and the trustee charged with handling her bankruptcy case says the 90s R&B queen fraudulently transferred assets to her husband in a bid to conceal them from creditors.

Bankrupt Toni Braxton filed for bankruptcy protection back in 2010, with an estimated $10 million to $50 million in debts. Before Toni Braxton was bankrupt, she was flying high as a singer in the R&B genre, with the bills to match her mega-celebrity status in the music world.

But the 2010s ushered in a new era of financial distress for bankrupt Toni Braxton, it would appear, and now the gossip site says that a trustee in Braxton’s case has said the singer concealed funds set for disbursement to creditors by transferring them to her spouse, from whom she is currently separated:

“Toni Braxton fraudulently transferred $53,490 to her estranged husband in order to avoid paying back creditors in her bankruptcy case — so says the trustee of Toni’s bankruptcy estate … According to new docs filed in Toni’s ongoing bankruptcy case, Toni’s estranged husband Keri Lewis received the 5-figure sum after Toni’s money was already earmarked to repay creditors.”

A rep for Toni Braxton commented on the allegation, telling TMZ the bankrupt singer handled all bankruptcy related transactions in an above-board fashion, saying:

“All of the payments made to Lewis prior to Toni’s bankruptcy filing were appropriate transfers for reasonable and necessary personal and business expenses in the ordinary course of her business.”

Toni Braxton’s rep added that the singer was willing to prove to the trustee that the allegation does not bear out.

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Comments

68 Responses to “Toni Braxton Bankrupt And Fraudulently Transferred Money, Trustee Says”

  1. Charlotte Greene

    I'm sick of stars claiming bankrupcy. The average American can hardly survive, and stars continue to spend and spend. Future earnings of these people should always be looked on as a source of debt payment.

  2. Maryann Hartman

    If she would have been responsible in the past and not spent all of her money on stupid things, you would have never had to file for backruptcy in the first place. Hope the alligations aren't true for her sake.

  3. Sasha Washington

    Hurricane Sandy will land on the east coast. Let's blame President Obama. Bewley's Brothel is pathetic. Spare all of us of your Obama rants.

  4. Anonymous

    Ugh why do you idiots always have to keep bringing politics into everything? Oh and by the way, it is big business and corporations that are getting bail outs from Big Daddy Government, not singers. Why don't you complain about them?

  5. Sasha Washington

    Its difficult to feel sorry for Ms. Braxton. Its hard for most of us to live within our means. But, when you file for bankruptcy once. I don't think you should be allowed to do it again so quickly. Her entire family (other than her brother), appear crazy.

  6. Anonymous

    I know this chick file bankruptcy before, this must be like the 2nd or 3rd time….and how ever did they get a REALITY SHOW?

  7. Anonymous

    Why is this chick even relevant? How did she get a REALITY SHOW?

  8. Diane Ribbentrop

    WORTH BTW 1 -10 MIL AND GOING BANKRUPT? WHAT DO THESE WEALTHY FOLKS DO WITH ALL THE MILLIONS GOES UP THEIR NOSES WASTE GAMBLE LIVING THE HIGH LIFE I'M SICK OF THESE IRRESPONSIBLE SPOILED BRATS.

  9. Diane Ribbentrop

    mlwjah yeah Trump Braxton know how to USe the system to their advantage just like crooked Bankers while regular folks who get sick get screwed royal

  10. Delores G. Wright

    Toni, probably has many medical bills. She has medical problems as her son. They can pile up, for some reason this has come out and this is old news. Many celebrities have money problems file bankruptcy which is nothing out of the ordinary. She needs this out her like a cold sore. However many times she has filed I am sure she needed some relief from creditors. This is her personal business and should not be anyone else's.

  11. David Clingerman

    Isn't this her second bancruptcy? Not many of us get to make the income that she has been able to make. If she can't live on million there is something wrong with her. Sounds like a "princess" complex to me.

  12. David Clingerman

    Isn't this her second bancruptcy? Not many of us get to make the income that she has been able to make. If she can't live on million there is something wrong with her. Sounds like a "princess" complex to me.

  13. Mary Ketner

    Everyone is having problems…………..don't feel sorry one bit for her…..You got to know when to hold them and when to fold them………….GREED will catch up with you! Try Walmart Toni…….your 15 mins of fame is long gone! ;-(

  14. Mary Ketner

    any by the way……………………where is her family during all of this? OR wher they riding on her coat tail?

  15. Ben Press

    Idiots like her deserve to go bankrupt. She made tens of millions off her music, and blew it all on ridiculous crap like mansions, fancy cars, ridiculously expensive clothes, an entourage, and no doubt cocaine. Is the $10,000 handbag really better than the $20 one from Kmart? I doubt it.

  16. Ben Press

    When people become celebrities and allow TV crews into their homes to film their everyday activities, they give up their privacy. It always blows my mind that someone can make so much money from being an entertainer, yet not have the brains to hold on to it. Does she really need the 38 room mansion and the $150,000 car? And the over rated clothes, etc etc?

  17. Anonymous

    Why don't she quit spending her money on unecessary things and learn how to invest and save. I'm pretty much tired of her and her extremely annoying sisters.

  18. Terrence D. Youngblood

    I cannot believe Toni would commit a fraud. She is too cute and very attractive to do something like that. Hopefully, someone would help her out. Her family should pitch in and support her. Toni will bounce back! Love you TB!

  19. Anonymous

    Ask me if I have an ounce of sympathy for her, because I don't..She made the money and she should pay her taxes, just like the rest of us regular people have to do..We don't like it, but we do it..I don't feel sorry for stars who get into trouble with the government..If she had medical bills for herself or her child then with her huge income she should have had the best insurance money could buy, if she didn't, then whose fault is that? HERS..

  20. Anonymous

    Funny, I am sick and tired hearing about the damn lies about How celeb going bankrupt. I am not going to buy into this. First it was Maria Carey going bankrupt and she lost herself just like britney spears and Maria married a rich black guy to pay off her debts. Second, we hear about MC Hammer, and now this dumb idiot women Toni Braxton, I guess fame is just too much for them to handle. The problem with these celeb they think too much about themselves but the funny thing is they all do not no how to handle money. I would think a Celeb should no even thou, the world surrounds them all. Toni Braxton needs to go back singing to pay off her debts.

  21. Michael Taworski

    Bill Cosby once told her to make sure she wrote all her checks and knew where her money was. When the IRS came to her house the first thing they ask for was he Grammy's She walked away from her house and had to ask her mom to send her plane fare to her. She has so much talent she can come back but she has to get some financial discipline.

  22. Sandra Liscio

    She knows how banktruptcy works, she filed years ago and dismissed all her debts. So now she runs up the bills again and no problem, she'll just file for bankruptcy again. Sorry, please do not discharge them. She has the ability to pay all her bills since she still can sing. The laws shouldn't let her off the hook. How come middle class people pay their debts rather than file for bankruptcy but the rich just file over and over and over…..

  23. Gayle Schmidt Doyer

    Delores G Wright-
    When there is an article online about her bankruptcy it's no longer "her business" as you say. If she wanted it kept quiet then she went about it all the wrong way. Got no sympathy for her.

  24. Anonymous

    Perhaps he's referring to you. You wrote, "what village are you referring too?" Seriously? "…referring too?"

  25. Lasbonn Bon

    braxton come n marry me I got millions to throw about, i will write u couple of songs too.

  26. Bill Conol

    Enough with these stars filing for bankruptcy and then 1 year later they are loaded again when a new record or movie comes out. They should be made to pay back all the debt with any money they make going forward. These people are leeches on society.

  27. David Davis

    @Kim – That would be America you dope, try a little introspection.

  28. Gary James Minter

    So many celebrities with addiction problems, health problems, money problems, and early death….Money can't buy happiness, "money can't buy me love." But money can RENT love for an hour or so, till she keeps asking for more and more and more to feed her habit….

  29. Gary James Minter

    So many celebrities with addiction problems, health problems, money problems, and early death….Money can't buy happiness, "money can't buy me love." But money can RENT love for an hour or so, till she keeps asking for more and more and more to feed her habit….

  30. David Davis

    Yeah Sherita, he'll ram his hand right up your ass and sell your organs at a profit.

  31. Anonymous

    She will be joining Wesley Snipes in her new crib. Can't the banksters, government and scum leave people alone?

  32. Michelle Renee Robinson

    It's apparent she's very bad with her money or her financial advisors don't have her best interest at heart.

  33. Douglas Mcconnell

    I think all one needs to do is watch a single episode of BFV to kinda figure out where the big hole in her wallet might be.Just keeping those girls in KFC must cost half her royalties.