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‘Real Housewives’ Stars Charged With Fraud

NEWARK, N.J. (AP) — Teresa Giudice, 41, and her husband Giuseppe “Joe” Giudice, 43, stars of the Real Housewives of New Jersey were indicted Monday on federal fraud charges.

They have been accused of exaggerating their income while applying for loans before their TV show debuted in 2009, then hiding their improving fortunes in a bankruptcy filing after their first season aired.

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The couple, of Montville Township, were charged in a 39-count indictment with conspiracy to commit mail and wire fraud, bank fraud, making false statements on loan applications and bankruptcy fraud.

They say they hope to resolve federal fraud charges as quickly as possible.

A 39-count indictment, handed up Monday in federal court in Newark, N.J., accuses the couple of bank and bankruptcy fraud. Joe Giudice is also accused of failing to file five years of tax returns, before the show began airing, when he allegedly earned nearly $1 million.

Teresa’s attorney says she will plead not guilty and that “we look forward to vindicating her.”

Giudice also issued her own statement saying “today is a most difficult day for our family.”

She says she supports her husband and is committed to continuing her career.

The show is in its fifth season on Bravo. A network spokesman had no comment.

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The reality TV stars submitted fraudulent mortgage and other loan applications from 2001 through 2008, a year before their show debuted on Bravo, making phony claims about their employment status and salaries, the indictment said.

Joe Giudice also failed to file tax returns for the years 2004 through 2008, when he is alleged to have earned nearly $1 million, the government said.

Their attorneys did not immediately return calls seeking comment. A spokesman for Bravo said he had no comment.

The two were scheduled to make their initial court appearances Tuesday.

“The indictment returned today alleges the Giudices lied to the bankruptcy court, to the IRS and to a number of banks,” U.S. Attorney Paul Fishman said. “Everyone has an obligation to tell the truth when dealing with the courts, paying their taxes and applying for loans or mortgages. That’s reality.”

When Teresa filed for a mortgage loan of $121,000 in 2001, she falsely claimed she worked as an executive assistant, submitting fake W-2 forms and fake paystubs as part of the ruse, the indictment said.

In their petition for bankruptcy protection, initiated in October 2009, the couple concealed businesses they owned, rental income they received, and Teresa’s true income from the “Real Housewives,” website sales and personal appearances, the indictment said.

Prosecutors said they also hid their anticipated increase in income from the then-upcoming second year of the show, which is in its fifth season.

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