Question Any trustees get punished

[bankruptcyme]

Just curious! Gossips.

Anyone who acted as trustee for their own bankruptcy: like collecting rents and paying expenses but misappropriated the funds, like stealing, not reporting....

What normally will happened! Fine, case dismissed, converted, types of prison terms...

So there are much liabilities!

[justbroke]

I can't recall the exact case, but a Trustee was disbarred in the incident. Remember, Chapter 7 Trustees are just regular practice lawyers (hopefully bankruptcy lawyers) that have been appointed by the United States Trustee to oversee bankruptcy cases. They are fallible just like any human being. Whether their conduct rises to the level where it's criminal... I'm not sure I've seen any of those.

I think in the case I recall reading, the Trustee was using the Trustee fund as his own private piggy bank.

[lrprn]

Here's a timely case of local trustee fraud in Florida publicized just last Friday - http://www.law.com/jsp/article.jsp?i...ng_Sources_Say

After an investigation by the US Trustee's Office, this Ch 7 trustee was found to have more than a million dollars missing from the accounts she was controlling.

Want another one? Another Florida local trustee is currently awaiting trial for pilfering more than $2 million dollars from the accounts under his control - http://www.law.com/jsp/article.jsp?id=1202446040841

[justbroke]

Want another one? Another Florida local trustee is currently awaiting trial for pilfering more than $2 million dollars from the accounts under his control - http://www.law.com/jsp/article.jsp?id=1202446040841

That's the one I read about! Great job lrprn!