Trustee Objection Based on Bad Faith & Concealing Assets

[Fiji2010]

[HHM]

I have to ask, how are you involved in this...note (we don't really appreciate answering hypothetical situations or very open ended questions like here, because unless the person posting has intimate knowledge of the situation, the facts keep changing etc., making any answers useless).

In general, unless the debtor files a response to the objection, the case will be dismissed at confirmation. As for what happens next, that is up to the U.S. Trustee.

[Fiji2010]

I apologize for my vagueness. I took the forum guidelines a bit too far in my attempt to not reveal any identifiying information. This case is real, I am a creditor with a judgement against the debtors. I had a hunch the debtors filed in bad faith but did not have enough solid evidence to persue an AP and gave the debtors the benefit of the doubt. Boy was I wrong.

The trustee's objection stated that they had in their posession documents that reveal the debtors and a business partner conspired to conceal assets from the Bankruptcy Court. The trustee noted that the value of the concealed assets is approximately 3/4 the amount that the debtors proposed to repay their creditors over the course of their plan.


I wish to resume my collection efforts as soon as legally possible and am hoping that they debtors employment will not be affected by this. Obviously if he debtors are in custody it will be hard to collect from them so jail time is not something I'm hoping for here.

[secondtimer]