February 9th, 2010 by Reed Allmand 
More details have emerged about Anna Nicole Smith’s Chapter 11 bankruptcy in 1996 after the death of her billionaire husband. According to bankruptcy documents, the celebrity was in deep financial trouble but couldn’t understand why she was in bankruptcy. She was said to be confused and unfocused during the bankruptcy proceedings and even could not remember what she said from one moment to the next.
As for Smith herself, the Chapter 11 [bankruptcy] examiner appointed to probe her financial situation during her bankruptcy proceeding reported that “she did not know why she was in bankruptcy.” And in an interview with Smith at her home, the unidentified official said Smith appeared to be drugged and took pills throughout the meeting.
“She could barely walk, her speech was slurred, she had to lay down in a darkened room as the light bothered her and she could not remember what she said from one moment to the next,” the examiner reported.
It is also reported that Anna Nicole lost $2.7 million worth of jewelry that would have been counted as part of the bankruptcy estate. That jewelry was never found.
Many of us may dismiss the state of Anna Nicole during her bankruptcy as just a celebrity trait. But the truth is that many ordinary people are not properly handling their bankruptcy proceeding. They may not abuse drugs or have other traits of some celebrities; but this mishandling of their bankruptcy case can range from “lost” assets and strange behavior to outright fraud and efforts to manipulate the bankruptcy system. It could also mean allowing others (relatives, friends etc.) to make their decisions for them in an attempt to avoid personal responsibility. If you are considering bankruptcy and a new financial start, make sure to keep your “wits about you.” Keep track of all of your assets before and after bankruptcy, take care of your mental health and take responsibility for your finances by making the decisions because in the end only you will have to live with those decisions.
About Reed Allmand
Allmand's vision is rooted in his own financially precarious childhood in Abilene "My father always had difficulty holding a job and supporting our family, so after my parents divorced when I was 12, my sister and I got jobs to help make ends meet," he recalls. "I remember what it felt like as a child to worry that our car would be repossessed or home foreclosed on."
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