Newt Gingrich's presidential run may have been good for his ego, but it was bad for business—or rather, for the cadre of businesses often referred to as "Newt Inc." Before running, Gingrich presided over a small kingdom of connected for-profit businesses and non-profit consultancies, which over the past 10 years pulled in $110 million. Now, they're either defunct or mired in debt, in one case to Gingrich himself, Reuters reports.
The Center for Health Transformation declared bankruptcy last month still owing Gingrich $6.4 million for his share of the company. That would represent the bulk of the Gingriches' net worth, but they're unlikely to actually be paid it. The Center's fate is a good example of how Gingrich's operations failed. It pulled in $59 million over nine years, but when Gingrich decided to run for office, its clients ran for the hills. They "didn't necessarily want to be mentioned in a political story, because they weren't political people," explains one of the three minority owners Newt sold his shares to. "They were business people." When Gingrich sold his shares, the last clients departed. "Newt was the attraction," another owner says.