Joey Lawrence’s bankruptcy is coming to a close and his creditors — including the IRS — got screwed out of hundreds of thousands of dollars.
On April 6, the trustee presiding over Lawrence's Chapter 7 bankruptcy filed his final report in the case.
The docs reveal the trustee was able to collect $75,636.22 to pay back his many creditors. After some legal fees and other payments came off the top, $52,547.88 was left over to be paid out to those owed money.
According to court documents obtained by The Blast, the IRS will be paid $31,000 out of $67,000 owed, while the State of California Franchise Tax Board will only be paid half of a $14,000 claim.
Ford Motor Company will receive $0 despite filing claims totaling $42,000 and BMW won’t see a dime of the $50k owed to them. Capital One gets nothing over a $30,000 claim and American Express got screwed out of $47,000 the actor owed them.
The other creditors who won’t be seeing a dime included a Daimler Trust (owed $130k) and Woodside Credit (owed $76k).
As The Blast first reported, Joey Lawrence and his wife Chandie filed for bankruptcy in July 2017. He listed his assets totaling $43,907.32 and liabilities in the amount of $355,517.27.
His liabilities include $88k in back taxes, $132k in credit card bills, $32k on an unpaid loan, nearly $100k owed for automobiles and $54k in unpaid rent.
Prior to filing for bankruptcy, their financial situation had gotten so dire, they sold off purses and wallets on eBay and unloaded some of their clothing at a used clothing store.
During the case, Joey saw his future royalties sold off to the highest bidder by the trustee, which were bought for $56,000