Unique Strategies
, the legal team at Contreras Law Firm ,

5 Celebrities that faced bankruptcy

On Behalf of | Aug 19, 2016 | Bankruptcy

Celebrities go broke at a monumental rate for a lot of reasons. Divorce, not paying taxes, and bad investments lead the way (which comes as almost no surprise.) Nobody is safe, either. Celebrities that are loved, ones that are hated, those that seem smart and those that seem dumb– every single one of them is only one Papa John’s franchise away from going completely broke.

We found 5 celebrities that did just that.

Burt Reynolds

It was reported that Burt Reynolds, the nearly 80 year old star, owed $10 million thanks to his massive spending. Reynolds denies the rumors, but it was clear that something was up when he was selling all of his movie memorabilia. The rumors seemed to be true, so we can only assume that Reynolds went flat broke for a little while.

Larry King

In 1978, Larry King fell on tough times. After the first of one of his many divorces, King was flat broke and without a major job. King had to file for bankruptcy as he owed $360,000 to creditors. A stroke of luck came around the corner, though, when King was offered to host his own show that became a piece of Americana.


Despite the fact that Sinbad said he never spent too much money, he has had to file for bankruptcy on two separate occasions. The second time around, it was revealed that Sinbad owed $8 million to the IRS and was set up on a plan to repay it. There has to be some of that sweet “Goodburger” money laying around somewhere.

Pamela Anderson

After allegedly spending big buck on plastic surgery, and more than $1 million to spruce up her house, Anderson was questioned by the IRS about why she hasn’t been paying her taxes since it’s clear she has money. Anderson had to declare bankruptcy and sell the home that she had literally just finished remodeling. It’s a tough break, but you have to pay your taxes back faster than you can run in “Baywatch”.

Donald Trump

Donald Trump still flaunts his money around to this day, which is incredible despite the fact that he has filed for bankruptcy a total of four times. Between 1991 and 2009, these four bankruptcies would surely put Trump in the poor house, right? Well after some creative accounting, Trump declared for corporate bankruptcy instead of personal. This allowed his company to be bailed out on multiple occasions while protecting his personal assets, which also allows him to keep spending. 

Recent Posts

FindLaw Network
An Experienced Team
Of Litigators Working For You