'Emotional' Katie Price denies 'lavish lifestyle' as she Skypes bankruptcy hearing from £1,400-a-night Maldives holiday

KATIE Price has today denied living a lavish lifestyle during a Skype call to a bankruptcy hearing from a £1,400-a-night resort in the Maldives.

The model, 42, has been sharing snaps of her and boyfriend Carl Woods, 31, taking boat rides and relaxing by the pool on Instagram – but insisted the trip was a “work assignment”.

Katie was officially declared bankrupt last November – but has been on six holidays since.

A judge ordered her to appear before a court after an anonymous source tipped off officials that she was living a glamorous life.

Today, the model told the court: "I appreciate I haven’t been easy to contact.

"I have been places physically and emotionally.”

She said she'd considered selling her infamous pink Range Rover for scrap after she was accused of "hiding" it from bailiffs – and only didn't declare the vehicle as it's “worthless and unroadworthy”.

And during chaotic proceedings plagued with technical difficulties, she said claims she has been enjoying a string of luxury holidays aren't true – adding that she doesn't live a "lavish lifestyle".

Katie claimed “ninety percent” of her trips are for business – and said she's seeing a therapist and is on the "road to recovery".

She also apologised for "not being in the right mind to understand everything that's been going on" – but said she's appointed a new accountant to help her sort through her outgoings.

During the original November hearing, a court heard the mum-of-five had suffered a 'bad breakdown' and spent five weeks in celebrity rehab clinic the Priory – which costs £5,000 a week.

Upon her arrival at the clinic, she begged staff: "Help me to sort out my head – this is my last chance to do it.

"I don't want to die, I don't want to kill myself – help me."

Katie was once worth £45million. In 2018, it was claimed that she had asked her ex Peter Andre for help as she attempts to swerve bankruptcy.

And today, she urged the judge to remember that during the height of her career, she was a "massive taxpayer".

"Sometimes in life things happen," she said.

Court proceedings were adjourned to give Katie the chance to look over evidence this week.

The star has faced a turbulent 2020 after son Harvey was hospitalised.

She also shattered both her feet on holiday in Turkey, which has left her largely wheelchair-bound.

However, she's currently enjoying the sunshine on a 'baby-making break' with boyfriend Carl.

The pair flew first-class to the resort – and Carl paid for the entire trip.

A source told The Sun Katie would call into the bankruptcy hearing from her break.

"Katie's told her team that she can attend by Zoom from her Maldives holiday," they said.

"She doesn't see a problem with it – she's taking the whole thing very seriously – and says the holiday's not an issue as Carl paid for the holiday."

The source said Katie's creditors "have obviously seen her holidays, the products she's advertising and her days out on her YouTube channel and tipped off the bankruptcy court anonymously".

"Katie thinks she knows who it is – it can only be a creditor who has lost out on money when Katie went bankrupt."

Katie won't be discharged from her bankruptcy until next month.

Until then, she is supposed to pay any money that she makes from either selling her belongings or paid work to creditors.

A rep for the star said: "Katie won't be attending next week's hearing in person.

"This is subject to location and under Covid regulations."

Since November, Katie has enjoyed a luxury trip to Thailand, skiing in the French Alps, a holiday to Spain to see her mother Amy, her ill-fated Turkey holiday at a luxury five-star resort where she broke her feet, and a romantic cabin getaway with Carl.

What is bankruptcy?

WHEN you’re declared bankrupt your bank account may be frozen immediately and any items of value that you own, such as a house or car, may be taken away from you.

A person called an Official Receiver or Trustee is put in charge of your assets.

You will have to ask them before you spend money and you will only be given basic living expenses during the period of bankruptcy.

You are usually discharged from bankruptcy after 12 months – but sometimes this can last longer.

For example, when Kerry Katona was declared bankrupt for the first time in 2013, it took more than two years for her to get discharged.

You can’t borrow more than £500 without declaring your bankruptcy status, which makes it highly unlikely that you’ll be able to be accepted for credit.

Your home may be taken away from you and sold – but you may be given 12 months to find a new place.

You will be allowed to keep a car if it is essential to your work, as well as clothing, basic household items, and bedding.

But if furniture is expensive then you may be told to replace this with cheaper alternatives.

Any money you make from the sale of items is then paid to your creditors.

Your credit score will be negatively affected too.

A bankruptcy will stay on your record for at least 6 years and it could be as long as 15 years if you are subject to restrictions.

If you apply for bankruptcy, it costs £680. However, if a creditor – a firm which you owe money to – goes bankrupt, then you won’t have to pay the fees.

Despite the sunshine breaks, Katie has had a difficult year.

She feared son Harvey, who suffers partial blindness, Prader-Willi syndrome, autism, and learning and behavioural difficulties, had contracted Covid after he was rushed into intensive care.

Meanwhile, her mum Amy is terminally ill.

In July, a puppy owned by her daughter Princess was suffocated by a chair.

Her home was burgled and she split with fiancé Kris Boyson, 31.

She met Carl earlier this year, and the pair promptly visited Turkey to have new veneers fitted – at a reported cost of £10,000.

Despite being targeted by online trolls for their relationship, Katie took to social media recently to say she's the 'happiest she's ever been'.

She said: "I really am the happiest I’ve ever been and met my equal finally.

"Yes, me and Carl both have pasts, but we are both older enough to know what we want in life."

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