High Point City Councilman Files Chapt. 13 Bankruptcy

6:49 PM, Jan 3, 2014   |    comments
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GREENSBORO, N.C. -- High Point City Councilman Foster Douglas filed Chapter 13 Bankruptcy on Monday afternoon - the day before his home was scheduled to be auctioned.

Douglas' High Point home was planned to be auctioned to pay off a debt he owes the city. 

Douglas requested the statements for all city-issued credit cards.

He said he wants to see how the money is being spent and make sure there is no misuse of the city funds.

The City of High Point issued 365-credit cards.

1,400 people work for the city.

READ: Sheriff's Dept. to Sell Councilman's House For Unpaid Debt

He and his brother, Jerry Douglas, owe the city of High Point more than $32,000 after they lost a 2002 lawsuit against the city.

READ: High Point City Councilman Owes City $32,000+

A federal judge ordered them to pay the money in 2003. To date, they've only paid $416.58 of that judgement.

By filing Chapter 13,  Douglas is allowed to keep his property and pay his debts over time. 

See full filing documents here

Jerry Douglas also filed for bankruptcy. He filed Chapter 7 on Monday. 

As a result, the auction for their homes will not happen on Tuesday.

WFMY News 2's Morgan Hightower spoke to Foster Douglas at the High Point City Council meeting, but he refused to answer any questions.

Morgan: "We just want to talk to you today about the judgment and I know that you filed Chapter 13 bankruptcy which holds the sale of your house so what does.."

Foster: "Oh does it?"

Morgan: "Yes sir, so what are the future plans for paying this judgment?"

Foster: "I guess you would have to speak to my attorney about that."

In paperwork his attorney filed, Douglas proposes to pay $1,125 per month to his creditors for five years.

A federal judge will have to review Douglas' petition and approve his payment plan. 

READ: Deputies Serve High Point Councilman Before Meeting

Stay with Digtriad, WFMY News 2 and Morgan Hightower @mchightower for updates.

WFMY News 2

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