Singer Shane Filan, the 32-year-old member of boy band Westlife, has been declared bankrupt after his property empire crumbled.
Despite the Irish group selling 45million records, Filan is said to have amassed £18million debts.
In a statement, the pop star said he had 'worked long and hard' to tackle his debts and was devastated that his problems have come to this conclusion.
Filan owns Shafin Developments Limited with his brother Finbarr. It was involved in developments in Counties Leitrim and Sligo in Ireland but went into receivership a month ago. KPMG was appointed as the receiver on behalf of the Ulster Bank.
But earlier this week, the singer was declared bankrupt at Kingston-upon-Thames County Court and his name has been placed on the UK insolvency register.
The bankruptcy rules are less onerous in the UK than in Ireland, where bankrupts are blacklisted for up to 12 years.
In England & Wales, it is possible to be discharged from debts after year, and sometimes less.
He said: 'I have worked long and hard to try to reduce my debts, and I am devastated that it came to this conclusion.'
He had spoken to several experts to try and find avoid bankruptcy but his efforts failed.
Shane is currently with fellow band members on Westlife's farewell tour and has said he intends to focus on that in the near future.
Father of three: Shane and his wife Gillian now live in Surrey with their three childrenHe added that after the band finished performed he would start: 'looking to rebuild a future for my wife, my three children and myself'.
Before the economic crises hit Shane and his brother Finbarr had borrowed millions from several banks in his native Ireland.
Their company Shafin developments had a series of large loans to construct a 90-home estate in Dromahair, County Leitrim.
Just over half of the houses were built with many selling for less than they cost to build.
The property booms in Ireland and Spain, built on a mountain of debt, were far bigger than anywhere else and saw the biggest slumps after lending collapsed and debts were called in during the credit crunch. In Ireland, vast estates remain half-built and new-builds stand empty.
Boom to bust: Anthea Turner and Grant Bovey in 2004 when they were trying to find a £750,000 Holiday home in Dubai for Channel 4's Celebrity Place in the SunThe singer relocated from Ireland to Surrey at the end of last year meaning his finances are dealt with in the UK. He is said to be earning £4million from his Westlife tour and he is also set to release a solo album next year.
THE EASIER BANKRUPTCY ROUTEBankruptcy rules in England and Wales were made more 'progressive' in 2004, making the process less onerous.
Bankrupts can be discharged within 12 months - and as little as four months. This compares with three years before, or two years when the debts came to less than £20,000.
You can apply to a court, and pay £700, to make yourself bankrupt. Your creditors can force you into bankruptcy if you owe more than £750.
The order normally lasts up to one year, or until the court appointed trustee can decide what can be claimed from your assets to clear what you owe.
Your bank account may be frozen with a living allowance being agreed.
Your home, car and other assets may be seized to clear your borrowing. Pensions are usually excluded.
Certain debts will remain even after bankruptcy: court fines, child maintenance and student loans.
If your assets are insufficient, you might have to make monthly payments, if you can afford it, for three years.
A note remains on the credit files of bankrupts for six years, making it difficult to borrow money.
Debt Relief Orders (DRO), a simplified and cheaper alternative to bankruptcy, was introduced in 2009. It lasts for 12 months, after which, if their circumstances have not changed, the debt is written off. It costs just £90.
Westlife's manager Louis Walsh told the Mirror: 'Shane is going to have a massive career after Westlife. He’s going to have a great solo career and make millions.
'He’ll start all over again and remake the riches in no time at all.
'He had no money when he started off before Westlife, and now he’ll make it all back when he becomes a massive star.'
Filan is just the latest celebrity to go bust due to property debts.
Many footballers, in particular, have been caught out as new developments have been left empty due to the slump in house prices.
Jason Euell, 33, who earned £6million over his career, which started at Wimbledon, but suffered from the collapse of a property investment and was declared bankrupt.
Others invested their money in films, largely because of the tax breaks, but these high-risk punts have failed to pay off.
Former England player and Aston Villa favourite Lee Hendrie was declared bankrupt in January after film and property investments failed.
The 34-year-old, who earned £24,000 a week at the peak of his career, owed HM Revenue & Customs £200,000 in unpaid tax.
He had unsuccessfully tried to sell his £1.7million home in Solihull but officials discovered in any case that the mortgage exceeded the property's value.
Grant Bovey, husband of TV presenter Anthea Turner and failed buy-to-let investor, was discharged from bankruptcy last year - just a year after his property company collapsed with debts of £50m.
The 50-year-old entrepreneur managed to hold on to some of his lavish lifestyle, staying in a pretty cottage in Hascombe, Surrey, owned by his wife and the couple managed to keep their £4m French ski chalet.
TV star: Miquita Oliver was declared bankrupt at the age of just 27Other high profile bankruptcies have included former Atomic Kitten singer and reality TV star Kerry Katona and TV presenter Miquita Oliver, aged 27, who faced a £170,000 unpaid tax bill.
Katona finally cleared her debts at the end of last year after being declared bankrupt in 2008 - it normally only takes one year to be discharged but she had failed to comply with the order.
She lived in a £5,500-a-week mansion in Oxted, Surrey, through most of the bankruptcy. Insolvency experts speculated that the rent may have been paid by a third party.
She was able to settle her debts, which once stood at £417,000 after receiving a £350,000 fee for appearing on Celebrity Big Brother.
The price of fame can also hit new stars.
It was revealed earlier this year that Paddy Doherty, star of Channel 4's Big Fat Gypsy Weddings, was being investigated by the taxman over his earnings.
Media industry experts reckoned the married dad of five could have earned well over £100,000 in the last year. He found fame in the first series in 2010.
