On May 12 in bankruptcy court, Eric David Zapf, husband of second district city councilwoman Lorie Zapf, filed for Chapter 7 bankruptcy, or liquidation. Lorie Zapf was named as a codebtor. They live at 4622 Lisann Street.
Three years ago, the fourth appellate district court of appeal found that Eric Zapf was liable for professional negligence in a real estate deal. At the time, Eric Zapf and his associates were to pay more than $1 million. According to the appellate court, Eric Zapf had been the real estate agent for sellers of a residential property. After the purchase, the buyer discovered that the property was encumbered by a loan that had not been paid. The court found the sellers liable for the fraud and Zapf liable for negligence.
According to the bankruptcy filing, Zapf has $500,000 to $1 million in assets and $1 million to $10 million in liabilities. He has combined monthly income of $5,068 and expenses of $6,799. He owns a 2003 Honda with 165,000 miles on it, worth $2500. He has $100 in cash, $800 in a checking account and a government employee retirement account worth $30,000. His total personal property is worth $35,700, says the filing.
But one must wonder what he has been doing as he sank into liquidation. He lists $825 in "miscellaneous income" in 2015, $825 in 2016, and $275 thus far this year.
The filing says Getsen Acquisition is owed $1,568,763 and the value of the collateral against this is $640,000. He owes Wells Fargo almost $500,000 and Citibank close to $11,000.