Source : Webster's Revised Unabridged Dictionary (1913)

Bankruptcy \Bank"rupt*cy\, n.; pl. {Bankruptcies}(?).
   1. The state of being actually or legally bankrupt.

   2. The act or process of becoming a bankrupt.

   3. Complete loss; -- followed by of.

Source : WordNet®

bankruptcy
     n 1: a state of complete lack of some abstract property;
          "spiritual bankruptcy"; "moral bankruptcy";
          "intellectual bankruptcy"
     2: inability to discharge all your debts as they come due; "the
        company had to declare bankruptcy"; "fraudulent loans led
        to the failure of many banks" [syn: {failure}]
     3: a legal process intended to insure equality among the
        creditors of a corporation declared in bankruptcy