Sometimes even the filthy rich cannot manage their money.
Patricia Kluge, a socialite who was once the wealthiest divorcee in history, has filed for personal bankruptcy protection with her husband, reports the AP. The couple’s lawyer Kermit Rosenberg says, “They’re getting on with their
lives, trying to discharge their debts and start over.”
Kluge acquired the 23,000+-square-foot Albemarle House along with 3000 acres of rural Virginia land and a reported settlement of a billion dollars when she divorced from media mogul John W. Kluge in 1990, which at the time was the biggest divorce settlement in history.
But now the Chapter 7 bankruptcy filing comes after the couple allegedly defaulted on three loans on the Albemarle House that total roughly $23 million and loans for a winery that totaled roughly $35 million. The AP also reports that a year ago, Kluge tried to save the struggling winery by having an on-site auction hosted by Sotheby’s and liquidating much of her jewelry. But it looks like that was unsuccessful.