this woman is a silly twat, but i'd wear that red dress!
The Duchess of York faces bankruptcy over her £5m debts
The Duchess of York’s debts have risen to almost £5 million, causing alarm in the Royal family, which now fears her best option is bankruptcy.
Last month the Duchess was forced to lay off 11 full-time and part-time staff but still her debts, with interest payments, are growing by the day.
at least one senior financial adviser to Buckingham Palace has recommended voluntary bankruptcy even though this would cause acute embarrassment to the Queen, the Duke of York and others.
The Queen is said to be “deeply concerned” by the debts, which are more than twice as large as previously thought.
David Cameron, the Prime Minister, has even been briefed on the issue and the problem is believed to have been discussed recently during one of his weekly private audiences with the Queen.
No senior member of the Royal family has ever been declared bankrupt, but this course of action is increasingly likely.
“One key adviser believes the right thing is for the Duchess of York to go bankrupt. He says it will be a week-long wonder, then everyone will say, 'It’s not altogether surprising’ and then they will forget about it,” a senior royal source said.
However, the Duke of York, who along with his private office is masterminding the “rescue plan”, knows that the Duchess is desperately keen to avoid bankruptcy. Such a move would also be particularly embarrassing for him because he is the UK’s Special Representative for International Trade and Development.
The near £5 million figure relates to the Duchess’s personal and business debts on both sides of the Atlantic. It is believed that slightly more than half of the money owed relates to the US, where some of her legal fees have grown out of control.
The interest alone on the debts totals several thousand pounds a week and the Duchess has no real income to pay off the money owed.
This is the latest in a series of embarrassments that the Duchess has caused the Royal family over the past two decades but, even now, the Duke of York is being supportive towards the mother of his two daughters, the Princesses Beatrice and Eugenie.
In May, the Duchess was the victim of a tabloid newspaper sting in which she offered to sell access to her ex-husband for £500,000. She was filmed by an undercover News of the World reporter taking a $40,000 (£27,000) down payment. She later apologised for her “serious error of judgment, GREED AND DUPLICITY” and said the Duke of York knew nothing of her actions.
Senior sources close to the Royal family have said that the Duke of York had paid off one large debt incurred by his former wife before the News of the World story broke.
“The Duke is still very fond of her and he is keen to see that she doesn’t get in such deep trouble that she can’t dig her way out of it,” said one senior source.
“The Duchess has been incredibly naive (STUPID IS THE WORD). She has been using lawyers in America and not understanding that, when they turn up bringing three people with them, there is a huge meter which ticks like mad.
''The lawyers’ fees in America are gigantic and suddenly some massive bills have arrived. It is this sort of thing that is her biggest [debt] problem.
“The Duchess simply does not have any real idea about money. She has been taken for an incredible ride by some people who have not been honest with her about the way the bills were running up.
''She has also been crazily generous towards so many people. She is forever sending people expensive presents without thinking for a second what it all costs. But, of course, the people who suffer are the local butcher, baker and newsagent [some of whom are still owed money].”
In the mid-1990s, the Duchess amassed debts of £4.2 million but then, in her mid-30s, she went on a four-year earning spree in America, including writing her autobiography, to pay off the debts.
This time, however, at the age of 50, the situation is far more serious because her earning power in the US has dipped along with her credibility.
Hartmoor, a US company that dealt with her media, publishing and licensing work, folded last year with debts of £650,000.
Bankruptcy experts say that, on the face of it, the Duchess fits the bill for someone who would benefit from declaring herself bankrupt.
“Often bankruptcy is the fastest and cheapest way out of debt. Bankruptcy should be considered if you have no assets to protect, live in rented accommodation or a mortgaged property in negative equity, and are in employment that will not be affected by bankruptcy,” said Bournemouth-based Bankruptcy Information UK.
A spokesman for the Duchess declined to comment yesterday on the size of her debts.
“There is currently a review of the Duchess’s finances under way and a number of options are being considered,” he said.
''No decision has yet been taken. She has a number of options for rebuilding her career and she is in talks for new contracts regarding licensing, books, television, photography, public speaking and other projects.”
A friend of the Duchess admitted that voluntary bankruptcy was under serious consideration.
“Every day there seems to be another debt. But Sarah has taken out a personal loan to try to deal with some [financial] commitments.
''Costs are being cut but I don’t know how she is going to get back on her feet: she needs to pull a rabbit out of the hat.”
Bah...I'm disillusioned to read she's a nag & a bitch. Of course, Mel Gibson disillusioned me too. I always expect people to be as they present themselves. I've been rudely awakened by them & a string of others this year alone...Fuckin' people.