'Real Housewives' Stars Plead Not Guilty to Fraud

The reality of potential jail time is setting in for Teresa Giudice, star of the hit Bravo television show "The Real Housewives of New Jersey," and her husband, Giuseppe "Joe" Giudice, who both pleaded not guilty to 39 counts of fraud in federal court in Newark Wednesday, according to a news report.


The Giudices entered their pleas in an arraignment hearing before U.S. District Judge Esther Salas, according to The Star Ledger. If convicted on the multiple charges, the Giudices could serve dozens of years in prison and be forced to pay hundreds of thousands of dollars in fines.

The Giudices, known for stirring up drama on the show which documents the wives and lives of a few wealthy New Jersey residents, found themselves in trouble with the law after U.S. Attorney Paul Fishman claimed they submitted fraudulent mortgage and loan applications to lenders from September 2001 to September 2008.

Fishman also alleged the Giudices indicated on applications that they were employed and making substantial salaries, when they were not and that Teresa Giudice submitted fake W-2 forms and pay stubs, acting as if they were from her employer.

Joe Giudice, who is currently awaiting trial on separate charges that he used a fraudulent ID to obtain a driver's license while his was suspended following a DWI arrest, is also accused of submitting fraudulent loan applications, in addition to being charged with failure to file tax returns for income received between 2004 and 2008, during which time he allegedly earned approximately $1 million.

The Giudices are being represented by separate lawyers. Joe Giudice's attorney, Miles Feinstein, being the same lawyer representing Caleb McGillvary, also known as "Kai the Axe-Wielding Hitchhiker," an Internet celebrity who is accused of brutally murdering a man inside his Clark home.

Teresa Giudice's lawyer, Henry Klingeman of Newark, released a statement on her behalf following their indictment in which she said she is "committed to my family and intend to maintain our lives in the best way possible, which includes continuing my career.

"As a result, I am hopeful that we will resolve this matter with the government as quickly as possible," she said.

Joe Giudice will not testify against his wife, contrary to previous reports, his attorney told the media in a press conference before the arraignment hearing, The Star-Ledger reported.

The Giudices are scheduled to return to court for trial on Oct. 8, the Ledger reported.