Here is a recent story I read about bankruptcy fraud. Unfortunately, this happened to former big league star, Lenny Dykstra. He is being accused of selling off his personal assets that were under control of his bankruptcy estate, monitored by the trustee. This includes selling off of some sports memorabilia, and even the kitchen sink!! It's a good read, but an unfortunate story. This leads me to the moral of the story, if you are starting a business, use a lawyer....
Must I list all of my debts in bankruptcy?
Recently, I received an email asking about filing a chapter 7 bankruptcy The writer asks:
"Do I choose which debts I want to include in my bankruptcy or does the trustee do this? I have a bank loan for my truck which I pay on time and I want to keep my truck and keep making payments. Do I have to include this loan in my paperwork for a bankruptcy? What happens if I don't include it?"Answer: All debts must be listed in the bankruptcy petition. You can select to 'reaffirm' certain debts. ...