The Broke and the Beautiful: OITNB Edition

This week on The Broke and the Beautiful, Teresa Giudice will serve time in the prison that was the setting for “Orange Is the New Black,” and the Backstreet Boys settled with former boy-band mogul Lou Pearlman. Also, Girls Gone Wild made a settlement with the Hottest Girl in America 2010.

She’s no Piper Kerman, but Teresa Giudice has a tie to the author whose memoir inspired the Netflix hit “Orange Is the New Black.” The Associated Press reported that a judge ruled the “Real Housewives of New Jersey” star would be serving her 15 months at the Danbury Federal Correctional Institution in Connecticut, which is where Ms. Kerman, as well as Martha Stewart, did her time. U.S. District Court Judge Esther Salas denied Ms. Giudice’s request to serve out her time in a halfway house.

Ms. Giudice, who was sentenced for multiple counts of fraud, including bankruptcy fraud, will be serving her time separately from husband Joe so that one parent can be home with the couple’s four daughters. After Mr. Giudice serves his time, he could be deported. He moved to the U.S. from Italy when he was 2 and never became an American citizen.

(And speaking of New Jersey housewives, former “RHONJ” cast member Danielle Staub got some good news this week in her bankruptcy case—according to Radar Online, a judge in her now-closed bankruptcy case discharged $700,000 in liens against her.)

Hey everybody, it’s unmistakable: The Backstreet Boys’ bankruptcy battle with former music mogul Lou Pearlman is finally over. According to Bankruptcy Beat, the band will get $99,000 (and a “Star Trek Adventure” VHS tape”) under a settlement filed Tuesday with the U.S. Bankruptcy Court in Orlando, Fla. It’s a far cry from the $3.5 million the band said they were owed, but last year, their claim was challenged by a bankruptcy trustee who said there wasn’t enough proof to back it up. A bankruptcy judge last year approved a plan to pay creditors of Mr. Pearlman and his collapsed business, Trans Continental Records.

Girls Gone Wild has had its fair share of press since its operations filed for bankruptcy last year, and this week, we’ve got some hot news. As Bankruptcy Beat reported, Chelsea Heath—Girls Gone Wild’s Hottest Girl in America 2010—settled with the company over winnings she was never paid. Ms. Heath was abruptly terminated by founder Joe Francis in two separate emails. Ms. Heath, who’s working as an actress on an independent horror movie, is expected to get paid $12,500 under the deal.

Former Olympic wrestler Rulon Gardner’s been out of our purview for a while, but he’s back in the ring this week. The Associated Press reported that an auction for some of Mr. Garner’s memorabilia, including a USA Wrestling robe and a commemorative ring, are hitting the auction block Saturday in Salt Lake City. The auction, which is being held by Erkelens & Olsen, also will include a 1987 Porsche 911 Turbo, multiple guns and an octopus paperweight. Mr. Gardner, who was once a contestant on the NBC reality show “The Biggest Loser,” filed for Chapter 7 bankruptcy in August 2012.

Write to Melanie Cohen at [email protected]. Follow her on Twitter at @MelanieLisa.