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Thanksgiving won’t be the same for Gigi and Bella Hadid’s father whose company filed for reorganization in federal bankruptcy court last Wednesday.

Gigi and Bella Hadid's Father Files for Bankruptcy on Behalf of Company

Mohamed Hadid, the owner of 901 Strada LLC and father of supermodel sisters Gigi and Bella, filed for bankruptcy on behalf of his company a day before Thanksgiving after being accused of building a mansion illegally. The mega-mansion was believed to be larger than what the city rules allow.

The 71-year-old Hadid patriarch declared that the company is $10-50 million in debt caused by the building of his 30,000 square-foot mansion in Bel-Air. The mansion started construction in 2011 according to the documents gathered by Daily Mail and TMZ.

Meanwhile, Hadid’s lawyer, Bruce Rudman, refused to comment but refuted the report of Daily Mail that he declared his client in Los Angeles Superior Court as “broke”. Based on what he filed, Hadid’s company is more than $380,000 in debt to a management and design company while being in debt to a building materials company amounting to over $200,000. In addition, he owes more than $93,000 to a demolition company and not lower than $35,000 to plumbers.

On the other hand, Hadid mentioned that his mansion needed immediate attention because it must be physically secured or protected especially from weather conditions. TMZ added that in case Hadid fails to pay the demolition of the said mansion which costs around $5 million, the local taxpayers.

Hadid’s neighbors filed a lawsuit last year calling the Bel-Air mega-mansion as the most illegal structure ever constructed in L.A. while the New York Daily News called it a “seven-year saga”. They will go into trial in March 2020.

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Meanwhile, Judge Craig Karlan as reported by TMZ said that if ever this house came down the hill, it would take with it a portion of the neighborhood. However, Hadid refuted such allegations that the mansion is unsafe and in fact, it hasn’t moved a millimeter and is not posing a danger to the neighbors.

In addition, Gigi and Bella Hadid’s father filed separate papers asking the judge to temporarily stop the lawsuit with his neighbors while the outcome of the company’s bankruptcy is still pending.

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