MTGLQ Investors Want Say Lil Kim Has No Stake In Foreclosed Home
She’s just filed for bankruptcy, but it looks like Lil Kim’s money woes have gotten even worse.
The new owners of Lil Kim’s now foreclosed palatial pad have warned the singer to stay away from the property.
MTGLQ Investors LP filed court papers saying Lil Kim no longer has any stake in her former New Jersey mansion after she lost it to foreclosure and they purchased the $1.5 million mortgage last year.
The rapper – whose real name is Kimberly Jones – filed for bankruptcy last month after amassing millions in debt, and said in court docs that she wanted to sell the home and use the profits to pay her creditors.
But the investment group said they are the true owners of the two-acre Alpine, NJ property – not Kim – and the home shouldn’t be used as a bargaining chip in her bankruptcy, and want a judge to step in and rule that she’s not entitled to anything having to do with the home.
The “All About The Benjamins” rapper purchased the home in 2002 for $2.275 million and used a mortgage for $1.5 million to finance the purchase, agreeing to make monthly payments totaling nearly $10,000 a month. However, Lil Kim stopped paying altogether, and the bank put the home into foreclosure.
MTGLQ Investors bought the home’s mortgage from the bank, and now the house is scheduled to be auctioned off later this month at a Sheriff’s Sale. It is expected to fetch about $3 million.
Kim hasn’t yet responded to MTGLQ Investors’ motion and is due back in court next month.