Finance

Katie Price gets set for High Court showdown with creditors

Katie Price will face the High Court tomorrow after reportedly failing to ‘fully engage’ with creditors to repay her £3.2million debt.

The reality star, 43, who is currently facing a probe into how she funds her lifestyle, will review how she is paying debts accrued by her company Jordan Trading Ltd, during the bankruptcy hearing, The Sun reports.

The hearing comes just 48 hours after the former glamor model joked about buying a ‘flash’ new car in an Instagram post.

Earlier this year a source claimed Price had ‘not been engaging fully in paying creditors’.

Katie Price (pictured with her mother and sister in an Instagram post today) will face the High Court about how she repaying debts

On Saturday Price took to her Instagram Story to share a picture of herself riding her beloved horse Wallis and joked that she was keen to find a motor that is 'flash like him'

On Saturday Price took to her Instagram Story to share a picture of herself riding her beloved horse Wallis and joked that she was keen to find a motor that is ‘flash like him’

The source told The Mirror trustees were ‘casting the net far and wide to assess how much money is coming into Katie’s coffers’ and were preparing a dossier of deals Price had made ahead of her hearing this month.

The mother-of-five was declared bankrupt in 2019 and had vowed to pay back £12,000 a month through an individual voluntary arrangement.

Jordan Trading Ltd was set up by Price in 2003 to oversee the star’s perfume and makeup lines, but in 2017 an application was put in to wind up the company as Price tried to sort out her finances.

The bankruptcy meant Price was forced to give up her £2million 11-bedroom mansion the same year after signing the property over to a trustee.

She took out a second mortgage on the property in 2015, but faced monthly payments of £12,300.

Following years of incomplete renovations, the house was nicknamed the ‘mucky mansion’ with Price even showingcasing the extent of the mess on her reality series My Crazy Life.

This year Channel 4 confirmed the release of Price’s new documentary ‘Mucky Mansion’ would go ahead as planned.

The new show follows Price as she tries to repair the house which has been in disarray after various mishaps, including fly tipping, floods and a fire.

Last month the former glamor model was handed a 16-week suspended sentence and two-year driving ban for flipping her uninsured BMW X5 into a hedge while disqualified and under the influence on a country lane near her home in West Sussex on September 28.

Price was handed a suspended prison sentence because she complied with a requirement to attend the £6,800-a-week rehab centre.

The reality star, 43, is currently facing a probe into how she funds her lifestyle

The reality star, 43, is currently facing a probe into how she funds her lifestyle

The former glamor model was handed a 16-week suspended sentence and two-year driving ban for flipping her uninsured BMW X5 into a hedge while disqualified and under the influence.  Pictured, Price arriving at Crawley Magistrates' Court in West Sussex in December 2021

The former glamor model was handed a 16-week suspended sentence and two-year driving ban for flipping her uninsured BMW X5 into a hedge while disqualified and under the influence. Pictured, Price arriving at Crawley Magistrates’ Court in West Sussex in December 2021

This year Channel 4 confirmed the release of Price's new documentary 'Mucky Mansion'

This year Channel 4 confirmed the release of Price’s new documentary ‘Mucky Mansion’

Following her court appearance, Price released a statement saying she was ‘incredibly sorry’ and ‘sincerely grateful nobody was hurt’.

Drink-driving campaigners said they were ‘gobsmacked’ by the ‘unbelievable’ sentence, but the judge said Price would avoid going to jail because she completed a stint at celebrity rehab clinic The Priory and had stayed out of trouble.

Speaking on Good Morning Britain after her sentencing, the mother-of-five said she was ‘dealing with it’.

She said: ‘The events were really traumatic. It’s been traumatic after, so I’m not ready to talk about it yet.

‘But what I will say is that I went to the Priory and I’ve made the decision finally to see a therapist every week, forever, to deal with the traumatic events that led me to getting into that car.

‘I’m very good at hiding things but when I’m ready to talk about it then I will come on to talk. There’s reasons why I got in that car and my mental state but when I’m ready I will.

‘I feel ashamed about it all. There are reasons that I am still dealing with now. It’s a new year but I’m still dealing with it, people shouldn’t judge people, there’s always reasons for things.’

The reality star, who is currently facing a probe into how she funds her lifestyle, will review how she is paying debts at the High Court

The reality star, who is currently facing a probe into how she funds her lifestyle, will review how she is paying debts at the High Court

Yesterday Price took to her Instagram Story to share a picture of herself riding her beloved horse Wallis and joked that she was keen to find a motor that was ‘flash like him’.

‘I love him,’ she captioned the video originally posted by a friend at the stables. ‘I’ve had him 14 years and he still acts like a five-year-old.’

She added: ‘I’ll make sure my new car will be flash like him.’

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