Katie Price 'has been sent warning about not co-operating in paying back her £3.2million debt' after being declared bankrupt
Katie Price has reportedly been sent a warning after 'not co-operating' in paying back her £3.2million debt.
According to The Sun, the former glamour model, 45, is still trapped in her 2019 insolvency due to outstanding tax and mortgage payments.
It was previously thought Katie would be discharged from bankruptcy after one year but her status remains 'indefinite' due to her lack of engagement.
Government guidance: 'You will be freed from bankruptcy (discharged) after 12 months. This ends the bankruptcy restrictions and releases you from most of the debts you had when the bankruptcy order was made.
'Your bankruptcy can be extended for longer than 12 months if you do not cooperate with your trustee.
![Katie Price has reportedly been sent a warning after 'not co-operating' in paying back her £3.2million debt](https://i.dailymail.co.uk/1s/2024/04/09/16/83418659-13288699-image-m-2_1712676107773.jpg)
Katie Price has reportedly been sent a warning after 'not co-operating' in paying back her £3.2million debt
![According to The Sun, the former glamour model, 45, is still trapped in her 2019 insolvency due to outstanding tax and mortgage payments](https://i.dailymail.co.uk/1s/2024/04/09/16/83419123-13288699-According_to_The_Sun_the_former_glamour_model_45_is_still_trappe-a-4_1712676186422.jpg)
According to The Sun, the former glamour model, 45, is still trapped in her 2019 insolvency due to outstanding tax and mortgage payments
'Check your discharge date using the Individual Insolvency Register on our website. If your discharge status is 'suspended indefinitely' you need to contact the official receiver for an update.'
MailOnline has contacted a representative of Katie Price for comment.
Katie was declared bankrupt for a second time in March after failing to pay over £750,000 in unpaid tax - and will now face losing her home unless HMRC can recover the money.
The reality star failed to appear at a court hearing in London to explain why she has not paid any money to HMRC.
A judge at the High Court ruled that she be declared bankrupt after an official from HMRC said she has failed to pay any money owed or responded to any correspondence since the demand was made for the unpaid tax last year.
It is the second bankruptcy faced by Katie as she is being chased by creditors for a £3.2million payment over the failure of her company Jordan Trading Ltd.
Judge Sebastion Prentis sitting at the High Court Rolls Building said Katie had been served with a petition on November 27 2023 with a demand for £761,994.05.
The huge amount is made up of unpaid tax from self-assessment on her earnings from2020 – 2022 as well as penalties and surcharges.
![It was previously thought Katie would be discharged from bankruptcy after one year but her status remains 'indefinite' due to her lack of engagement](https://i.dailymail.co.uk/1s/2024/03/18/12/82595399-13209797-image-a-17_1710765688056.jpg)
It was previously thought Katie would be discharged from bankruptcy after one year but her status remains 'indefinite' due to her lack of engagement
![Katie was declared bankrupt for a second time in March after failing to pay over £750,000 in unpaid tax - and will now face losing her home unless HMRC can recover the money](https://i.dailymail.co.uk/1s/2024/03/18/12/82595725-13209797-image-a-23_1710765937331.jpg)
Katie was declared bankrupt for a second time in March after failing to pay over £750,000 in unpaid tax - and will now face losing her home unless HMRC can recover the money
![Following the incident Katie said she was having therapy once a week and how, at her lowest point, tried to take her own life](https://i.dailymail.co.uk/1s/2024/03/18/12/81890695-13209797-A_court_in_London_heard_from_barrister_Darragh_Connell_who_was_r-a-24_1710766144646.jpg)
Katie is being chased by creditors for a £3.2million payment over the failure of her company Jordan Trading Ltd
The court was told she owed £142,405 in tax for 2020-2021 and £196,735 for 2021-2022.
The judge said she also owed £140,000 in unpaid VAT and added:’ As with the unpaid tax no payment has been made.’
The mother-of-five was served with papers in October by HMRC informing her of the debt owed – and she has failed to respond to the demand.
The judge said: ‘There is a substantial debt due from Miss Price due to HMRC and therefore I will make a bankruptcy order.’
Katie, who has become known for her flauning her surgically enhanced figure on overseas trips, was first made bankrupt in 2019 when her company went bust.
She has failed to appear at an insolvency hearing on six previous occasions with the model submitting an excuse for her no show each time.
Creditors are owed the £3.2million from her company selling perfume and cosmetics.
![Pictured: Katie standing in front of her home, dubbed 'Mucky Mansion', which she could lose over her debts](https://i.dailymail.co.uk/1s/2024/03/18/12/79918999-13209797-In_July_last_year_Katie_hit_back_at_internet_trolls_who_question-a-27_1710766377065.jpg)
Pictured: Katie standing in front of her home, dubbed 'Mucky Mansion', which she could lose over her debts
![Katie owes £142,405 in tax for 2020-2021 and £196,735 for 2021-2022, the court was told](https://i.dailymail.co.uk/1s/2024/03/18/12/82596183-13209797-image-a-28_1710766518595.jpg)
Katie owes £142,405 in tax for 2020-2021 and £196,735 for 2021-2022, the court was told
A HMRC source said every effort will be made to recover the money and if not paid then assets owed by Price will be seized.
The debt to HMRC could see her lose her £2million mansion dubbed ‘Mucky Mansion’ after it fell into a state of disrepair.
The latest court judgement added to Katie's woes after she fined for another motoring offence in recent weeks.
She was fined £880 after being caught driving a Range Rover at a service station on the A14 in Kettering, Northamptonshire in August 2023 despite having no licence or insurance.
As well as being handed eight penalty points - taking her total to 11 - Katie was also ordered to pay £972 in costs on top of the financial penalty.