Ed. — From the Sunday, Oct. 16, print edition.
VIRGINIA BEACH — Elaine Fekete, a candidate for Virginia Beach City Council, twice sought personal bankruptcy protection in the past decade, federal court records show.
Fekete and her husband filed for Chapter 13 bankruptcy in 2013, a process resolved in 2015 by restructuring debt that Fekete said had been complicated by family medical issues. In 2020, the couple filed for the same type of protection after a medical issue and impacts of the pandemic on their jobs, Fekete said.
Fekete said during an interview that they decided to file to get in front of situations while meeting debts. Chapter 13 bankruptcy restructures but does not eliminate debt.
“This is not always a bad thing to restructure payments rather than default on it,” Fekete said Monday, Oct. 10. “In our case, it had nothing to do with reckless spending.”
Fekete is one of two candidates in the District 2 race for Virginia Beach City Council race who have filed for bankruptcy in the past.
Matthias Paul Telkamp sought Chapter 7 bankruptcy protection in 2008 in Texas, records show. He said it followed a serious motorcycle accident that left him with medical bills. He said he was unable to secure medical insurance at the time because his then-wife had a preexisting condition.
Telkamp said he chose to file for Chapter 7 bankruptcy, in which assets may be liquidated to address debts, because the alternative was facing taxes on outstanding bills had they been absorbed by the hospital. Telkamp’s medical ordeal lasted for 18 months, he said, and the experience made him reevaluate some political ideals.
“You start over,” Telkamp said during an interview. “I know how hard that is.”
Fekete and Telkamp are among five candidates seeking the District 2 seat under the new city local election system. They face incumbent Barbara Henley and challengers Michael Mauch and Nanette Miller.
Fekete, whose has stressed fiscal responsibility in her campaign, said she did not feel seeking personal bankruptcy protection disqualifies one from holding office. Fekete said she and her husband are in a payment plan to resolve the 2020 bankruptcy filing.
Fekete in a text message wrote that people may think about financial ruin when they hear about a bankruptcy. However, she described the process as a means of establishing a repayment plan that, in the matter of the 2020 filing, is nearly complete.
“I do think it makes me more aware of what people are going through,” she said.
Henley declined to comment. The two other candidates in the race did not speak specifically about their competitors.
“I’ve never had those issues,” Miller said. “I just wasn’t allowed to because of my job.”
“Right now, fiscal accountability is of the utmost importance,” Mauch said.
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