New York 'Housewife' Sonja Morgan $19.8 Million in Debt, Blames John Travolta

USMagazine, Wednesday, November 17, 2010, 3:14pm (PST)

Teresa Giudice isn't the only "Real Housewife" who's in the red: Sonja Morgan filed for bankruptcy protection in NYC Wednesday.

The "Real Housewives of New York" star, who joined the show in its third season, listed $19.8 million in debt and $13.5 million in assets on her bankruptcy petition, the Wall Street Journal reports.

"The decision to seek bankruptcy was not an easy one, but unfortunately, I am at a crossroads in my life," the 46-year-old Bravo star said in court papers.

Morgan blamed her growing debt on a failed movie venture with Hannibal Pictures Inc. According to the reality star, production on "Fast Flash to Bang Time" never began because its star, John Travolta, required "various conditions" that Sonja Productions was unable to meet. Hannibal Pictures Inc. later filed a lawsuit against Morgan's production company and won a $7 million judgment.

In addition to the lawsuit, Morgan cited her "bitter" divorce from her husband, a man she described as "many years my senior and a descendant of J.P. Morgan and John Adams," for her mounting financial woes.

This isn't the first setback Morgan has faced since joining the cast of "RHONYC" earlier this year: the reality star was arrested on suspicion of DWI in June.

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