Mohamed Hadid, father of supermodels Bella and Gigi Hadid, has filed for bankruptcy on behalf of his company, 901 Strada LLC.
According to court documents obtained by Entertainment Tonight, the real estate developer declared the company is between $10 million and $50 million in debt.
Hadid’s company was accused of illegally building a mega-mansion in Bel Air that was larger than what the city rules allow.
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The documents also state that the mansion needs immediate attention and to be physically secured or protected from the weather.
Hadid reportedly said the company is over $386,000 in debt to a design and management company.
He also claimed that his company is over $200,000 in debt to a building materials company and owes over $93,000 to a demolition company. He also claims he owes over $35,000 to plumbers.
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Hadid was fined and given community service for illegally building the mansion in Los Angeles in 2017.
In July 2017, the Los Angeles Times reported that Hadid was sentenced to 200 hours of community service, fined $3,000 and ordered to pay the city more than $14,000 to cover building department costs.
Hadid pleaded no contest in May 2017 to misdemeanour charges for building portions of a 30,000-square-foot mansion in Bel Air without obtaining proper permits.
Authorities said bedrooms, decks, supporting walls and even an IMAX theatre were built illegally. The city halted construction four years ago and the home remains unfinished.
Hadid’s lawyer, Robert Shapiro, said at the time that Hadid is interested in bringing the home into compliance and completing it.
—With files from The Associated Press