Substantial abuse of Power by the trustee

[kelly]

[bkfiler]

sorry to hear that. very, very upsetting to say the least.

i hate that they wait until the last day to do this. i posted about it many times and have read about it many more then that too.

what is expense total listed per month?
current wages is 140K? if not then how long ago?
how much debt and type of debt do you own?
when was the last charges made on the credit cards?
when and how much, if at all, did you cash advance to gamble with?
when and how much, if at all, did you cash advance to day trade with?

this will help people understand what you are going through and give any advice if possible. thanks and hang in there. i'm mad at your trustee too.

[StaciMM]

Documenting how you got into debt may not be as important as documenting your current expenses and where your money goes. If your expenses were padded, you will probably have issues. (If you rounded up alot of figures, or included things you don't really spend, they will be able to make a good argument for a ch. 13.) Some areas do have a high cost of living, and I imagine your child support is a big chunk of your pay. Even so, your problem most likely is rooted in the fact that $140,000/yr is much higher than the typical family of 1 salary.

[AAAArt]

As a gambler and former stock/options trader (which is just another form of gambling...addiction wise and in the eyes of many) I feel your pain and hear you. Most professional gambers keep a little notebook where they jot down every time they gamble, what they won or lost. Any chance of reconstructing something like that. Online gaming casino's keep records of deposits and withdrawals which you can request from them.
Trustees don't seem to like large gambling and stock trading debts. For some reason, it is okay to lose 3/4 of your pension/portfolio if you buy and hold, but not if you're actively trading. And it sounds as though you were extremely active. Dare I say "compulsive"??? (That's my personality at least), to the point of not being objective and being able to view from an arm's length.
I usually do not get real personal on forums, but tonightt for some reason I am tonight. When I was going through my divorce, I thought about turning to the bottle. (Actually, I did, but that's another story called how to stay in a coma for a year).
Anyway, bbecause I was fighting this and my atty was in AA, he suggested a group called Adult Children of Alcoholics. They have a list of things which ACA's have in common (often called a laundry list) that the first time I read it, I almost passed out. Someone had taken the story of my life and put it down in a list of 12 things. Told my story, my fears and my secrets all in one page. I don't have it any more, but #7 (I think) was..."We are addicted to excitement". Sound familiar? You can find out more about them through AA.
The trustee wants to make sure that you aren't stashing money. And they prob, wants to punish you for "sinning" and BTW, aren't we always attracted to beautiful women who are angry with us? Makes them even more beautiful!
I quit paying to have my hair and beard dyed when we filed. Just cut. My wife has me color hers and goes to a cheap place to get it cut. No more $45-$60 for me and $85-$95 for her. On a large salary, you just tend to escalate your expenses and the court often doesn't like that. Don't worry though...worst case scenario is that you'll wind up in chap 13 and still be able to get your life back in control...but only if you really want to.
Best wishes Art

[kelly]

[kelly]

BK Filer, My total expenses are about 50-100 more than the income. I am single no deduction so taxes make the take home much smaller. My debt occured in April thru now. All of the trading was from cash that I had, Even gambling was the sane way. On the end, I panicked and went on a tilt. I showed the papers I get from trutee to a lawyer and she remareked that the trustee is being overzealous and perhaps thinks she can recover a hidden stash. Else she is wasting time and money and will get nothing at the end.

[bkfiler]

[Minnymouth]

Yes, they can probably throw you into a Chapter 13 if the US Trustee sees fit.... or he may just dismiss it all..... and you end up paying it all anyways.

At least with a Chapter 13, you only have to pay a part of the debts.... so a Chapter 13 might work great for you in the long run....... better than a dismissal....

See what they ask for as far as paperwork, give it too them, and see what your options are after that.

Keep us posted,

Minny

[FoolAndHisMoney]

I understand full well how it feels when someone might think that because you are single with no home then you have more money then everyone else. It's certainly BS since you are paying a lot in taxes and other reasonable expenses. However the 140k still does sound a bit high though. What you should do is take the new bankruptcy means test and add up all of your "reasonable allowed" expenses as per the test and then see what your disposable income is after that. If you have more then $100 left over then you probably will be in a chapter 13. Despite all the news regarding the new bankruptcy laws the means test has been in use for years. As you just witnessed the US Trustee is using it under the old sec 707b to raise the "substantial abuse" argument.

I also agree that it does suck that most creditors don't care, but the US Trustee does. I guess they have to uphold the integrity of the process.

[down @ out]

You bring up some good points about the gambling business. Anyone having this problem had best be prepared to get the issue on the table early in the 341 hearing and get something in about the steps you have taken to correct it. Generally trustees here in Nevada are sympethetic to this problem. Guess they see it a lot.

You don`t want to be seen as simply going to gambler`s anonymous to simply slide through the process.

Had a friend who had this issue and bought stuff on his credit card and sold it to gamble. In his 341 hearing he simply fessed up and the trustee let it go. The creditor howled but considering it was done before the 60 day period he made it ok.

Believed his point was yes he sold the stuff to get cash to gamble but his intention was always to pay it back.

Comments?

[kelly]

Hi Folks

Thanks for the reassurances and support. What the US Trustee and the sweetie pie trustee got on their hand is a certified, booze loving alcoholic. I am a consultant and travel all the time. I am from NJ, and was on a sweet project in Bev Hills. Nice commute when the client pays! After this trick by the trustee nothing mattered to me. I was taken off the project because being aloof, not taking interest and being preoccupied.

I have been sitting home since. Started from a drink to go to bed. In a month it’s a bottle a day of Vodka. Pretty soon they won’t have no one to dismiss. This comes from a person who never ever drank “was a tee tattler until the last month”

This 90 day extension crap they pulled was way too hard on my nerves. I got the first letter of extension a month ago; I did not accept it and it went back. The trustee kept on sending it. So now they know I got at least one copy. It’s the same garbage, asking for extension which the judge duly granted in a heartbeat.

I will keep everyone posted for the benefit of others and for everyone to read. This high salary and means test is garbage. We live in America to be the best and not in a communist country. You will see the new law change soon. This law is dictating that you better be destitute to go Chapter 7 or must file 13 to appease some lobbying companies that charge 30% interest.

No one exhausts 140K, then goes into debt and is down to 200$ unless something is wrong. And the system refuses to see that. The trustee saw and agreed in the 341 meeting but later changed or was made to change her mind.

In either case, I will keep writing back. I am done with the long explanations.

The shortest one to her might be, how about dinner tonight?

[kelly]

[StaciMM]

The creditors that have noted discharged on your accounts may (and will likely) adjust that notation if your BK is dismissed. Some update prematurely-probably out of laziness. You may sqeak by and get rid of a creditor or 2 accidentally, but that is not certain.

Edited to add: the fact that creditors have charged off is more a bookkeeping matter for them than for you. It doesn't mean they can't come for the balances if you lose the BK protection. (I reread your messge, thought you were thinking the balances would be discharged initially.)

[bkfiler]

is the trustee a male for female or did they do a sex change operation? hmmm...

[Minnymouth]

Lady Trustees are "gold diggers"
Men Trustees look for "gold mines"

Now you know what I "think" of Trustees, huh!!!

LOL

Minny