Since you had zero assets in the estate, the estate was insolvent when this occurred. You will file form 982 with the Estate of your father's name in the name box and the EIN for the estate in the identifying number box. Here are the instructions for the form. I don't know what the indebtedness was for but I would draw your attention to the table and item "Nonbusiness Debt" for specific instructions.
Attach this completed form to a copy of the last estate form 1041 you filed, along with the 1099-C. Be sure to write COPY on the top of the estate form.
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