I am a creditor in an ongoing BK case. The debtor filed a 13 and my attorneys filed to have it converted to 7, which took place. The debtor is ineligible for discharge due to his repetitive BK abuse in '97, '00, '04 and now '08. The debtor did file a motion for an extension of time to respond to the ineligibility of discharge.
The background info on the man in question is that he ran a very profitable foreclosure scam. He would approach people under financial duress and pose as legitimate businessman willing to help. He would trick the victim into signing over the deed to their house and either rent it or resell it later, sometimes without paying off any mortgages. Yes, leaving the already penniless victim with a mortgage to pay on a house they no longer own. He accumalated millions of dollars and hundreds of properties this way and this foreclosure scam soon turned into what the IRS terms as an abusive trust scheme. The properties that were ill gotten were titled to a trust all their own. Meaning each property was transferred into a dedicated trust. The reason for doing this was to evade taxation, make asset location virtually impossible and lawsuit proof himself via no ownership, just controlling the asset.
As noted above, he has used BK to his advantage before, but this time is proving more strenuous because my atty has sent to the Trustee thorough data on how this debtor manages asset conversion and concealment.
So I'd like to ask a question relating to the BK process.
In the face of such complexity regarding the trust scheme and in light of the financial predatorial nature of the debtor, would the average Trustee be inclined to pursue this BK with a vengance or opt to quickly get the case sewn up without incident?
The background info on the man in question is that he ran a very profitable foreclosure scam. He would approach people under financial duress and pose as legitimate businessman willing to help. He would trick the victim into signing over the deed to their house and either rent it or resell it later, sometimes without paying off any mortgages. Yes, leaving the already penniless victim with a mortgage to pay on a house they no longer own. He accumalated millions of dollars and hundreds of properties this way and this foreclosure scam soon turned into what the IRS terms as an abusive trust scheme. The properties that were ill gotten were titled to a trust all their own. Meaning each property was transferred into a dedicated trust. The reason for doing this was to evade taxation, make asset location virtually impossible and lawsuit proof himself via no ownership, just controlling the asset.
As noted above, he has used BK to his advantage before, but this time is proving more strenuous because my atty has sent to the Trustee thorough data on how this debtor manages asset conversion and concealment.
So I'd like to ask a question relating to the BK process.
In the face of such complexity regarding the trust scheme and in light of the financial predatorial nature of the debtor, would the average Trustee be inclined to pursue this BK with a vengance or opt to quickly get the case sewn up without incident?
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