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Kelly Rutherford of 'Gossip Girl' files for bankruptcy following divorce, custody battle

By CAROLINE LEE, UPI.com   |   June 25, 2013 at 12:30 PM   |   Comments

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June 25 (UPI) -- Kelly Rutherford has run out of money after spending more than $1.5 million on legal fees as part of a divorce and custody battle with ex-husband Daniel Giersch.

Rutherford has filed for bankruptcy, claiming debts of $2.1 million and assets totaling $23,937.

She has asked her family law judge to have Giersch pay the legal fees. Rutherford's monthly income has dropped from $486,000 to $1,279.33 after the end of "Gossip Girl" last year.

Rutherford also owes more than $350,000 in income taxes for 2012 and $25,251 in American Express charges. She currently has $11,487 in her checking account. Her other assets are made up of $5,000 in furniture, $5,000 in clothing and $1,500 in jewelry.

She has borrowed money from family and friends to try to avoid bankruptcy, but has reached the end of that money. She is still fighting for her children, Hermes and Helena, to live with her in New York. They currently live with Giersch in Monaco, and Rutherford's finances will not allow her to pay for travel to visit them.

Rutherford is staying in a friend's apartment out of necessity, as she has "spent every penny. Every penny from 'Gossip Girl,' my pension, my stocks has been spent fighting for my children."

Rutherford started divorce proceedings while she was pregnant with her daughter with Giersch.

"I said, 'I don't want any money, I don't want anything, let's figure out a great plan for the kids,'" she said. "The relationship was obviously not working. And four years later, this is where I am."

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