Octomom Nadya Suleman filed for bankruptcy this week, citing more than $1 million in debt. From Donald Trump to Anna Nicole Smith, see other celebrities who have hit rock bottom financially.
“Octomom” Nadya Suleman filed for bankruptcy earlier this week, citing more than $1 million in debt. The mother of 14 says she wants a fresh start after being forced “to make some very difficult decisions this year.” Suleman, who turned down a $1 million offer to appear in a pornographic film in 2009, is said to be reconsidering and already accepted $8,000 this year to pose topless. From Donald Trump to Anna Nicole Smith, see other celebrities who have hit rock bottom financially.
Dave Allocca
How did MC Hammer, the man behind ’80s parachute pants and “Can’t Touch This” fame, find himself penniless? The singer reportedly paid more than $500,000 a month to a staff of 300 people and in 1996 had accumulated $13.7 million in debt with only $9.6 million in assets. His bankruptcy debts included $500,000 in attorney fees, $110,000 to his decorator, and $100,000 to the IRS.
Paul Sakuma
Familiar with bankruptcy—he’s filed for four—The Donald loves his real estate, lavish parties, and reality-TV shows. But in 1991, 1992, 2004, and 2009, his casinos fell into trouble. The outspoken Republican played it cool, however, announcing that Chapter 11 corporate bankruptcy was just a tool he used to negotiate his corporations’ debt deals.
Andrew Cowan
Anna Nicole Smith, the 1993 Playboy Playmate of the Year, was charged with sexual harassment in a lawsuit filed by an employee in 1996. She lost the suit and filed for bankruptcy after an $850,000 judgment from the hearing, along with other debts, including a $265.63 gas bill. Allegedly, the diet-pill promoter misplaced millions of dollars in jewels. After the death of her billionaire 89-year-old husband, a battle between her and her husband’s family over his estate ensued and continues to rage on, long after her death in 2007.
MANUEL BALCE CENETA
Before he was as famous as the characters he’s created, Walt Disney went bankrupt in 1920. He had just started a company named Laugh-O-Gram to produce his first animated fairy tales. As he assembled his team of animators, legend has it that the office space was infested with mice (yes, you can see where this is going). One mouse, who had an uncanny amount of personality, became the inspiration for Disney’s infamous Mickey. His company filed for bankruptcy, and Disney moved from New York to Hollywood to put his own name on the production company. Today, Walt Disney Co. is worth almost $80 billion.
Robert Kradin
Even presidents can get the nation, and themselves, into an awful amount of financial turmoil. Abraham Lincoln, our country’s 16th president, was forced into bankruptcy in 1833 over a poorly performing retail business and back payments of debt. Losing both his home and remaining surveying equipment, he spent the next 17 years paying back the rest of the money he owed to the friends who lent it to him.
Anonymous
“Let’s Get It On” singer Marvin Gaye lost his fortune after paying the divorce settlement for his first wife, Anna Gordy. Struggling with tax and drug problems, he continued to struggle, moving to Europe to avoid the IRS. But his lack of funds didn’t stop him from producing huge hits, and just three years after his death in 1984, the singer was inducted into the Rock and Roll Hall of Fame.
In 2002, “Tiny Dancer” singer Elton John filed for bankruptcy after spending up to $400,000 on flower arrangements alone, and accruing a debt at the rate of $2 million a month. With an estimated wealth of $265 million and five homes around the world, you would think Sir Elton would have a never-ending flow of cash. And while he does admit to being an excessive spender, he blamed his accountants for the unwise spending, and ultimately resorted to Chapter 11 to relieve himself of his debts.
Ronald Reyes
Retired heavyweight champ Mike Tyson won the WBC title at the young age of 20 and has since become one of the most recognized athletes in the world. Tyson has received more than $30 million for some fights and has a career income estimated at $300 million—yet he filed for bankruptcy in 2003. Tyson blames bad financial advisers, embezzlement, excessive spending on mansions, expensive cars, and a divorce from ex-wife Robin Givens.
Chris Pizzello
“Girls Just Wanna Have Fun” singer Cyndi Lauper had a successful recording career, including a No. 1 album. But before the “Time After Time” singer went solo, her musical career was much less successful with her original band, Blue Angel. The group’s album was a disaster and its manager sued for $80,000, forcing Lauper to file for bankruptcy in 1980.
Junji Kurokawa
Tom Petty was an instant success in the music world. But even with hit after hit, restrictive recording contracts meant his bank account didn’t see a steady increase. So when his label was sold to another company, MCA, he jumped at the chance to declare himself a free agent. But the label wouldn’t hear of it. Petty paid $500,000 out of his own pocket to record his next album and used it as a bargaining chip against MCA. He declared bankruptcy in 1979 to gain leverage in the legal dispute to get out of his former contract, eventually winning the legal dispute and signing a $3 million contract.
Alex Gallardo
