Report of no distribution

[Kingxray]

That wasn't directed at you Kingxray. A general observation in this thread led me to believe that some forum members are confused about the relationship between the two people.

I was trying to insure that everyone understands that one has nothing to do with another. You can be an under-the-median no-asset case and still have your case dismissed by the UST for abuse, totality of circumstances and/or bad faith.

A report of no-distribution has absolutely no ties to a finding of abuse or any other reason for which a case may be dismissed or converted.

THANK YOU! That was the question I needed to be answered. I was wondering if one influenced the other (UST and panel trustee), and the answer is no. We never made it this far before (report of no distribution), so I thought it may be a good sign. Either way we have 7 more days and the UST has to make a decision about the statement of abuse. But we will extend if that's what the UST wants. Thanks, as always.

[justbroke]

THANK YOU! That was the question I needed to be answered. I was wondering if one influenced the other (UST and panel trustee), and the answer is no. We never made it this far before (report of no distribution), so I thought it may be a good sign. Either way we have 7 more days and the UST has to make a decision about the statement of abuse. But we will extend if that's what the UST wants. Thanks, as always.

It is confusing for sure. However, the panel trustee is trying to make money. His whole motivation is just to see if there are assets. The UST, is a government employee (I liken them to a United States Attorney) and their job is to catch the people abusing the system.

Now, I can't say that I've ever read a case where the panel trustee filed a report of no distribution and the UST filed a motion to dismiss right after that. Usually, the UST would have informed the panel trustee that he has issues, and the panel trustee will just put the file "on hold" while the UST performs their investigation. I think that's why it's more normal to see the presumption of abuse statement from the UST before you see anything from the panel trustee.

Good Luck!