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Bankruptcy fraud at center of couple’s potential conspiracy

October 3, 2012 by  
Filed under Blog

On behalf of Ellett Law Offices , P.C. posted in 1. Personal Bankruptcy on Tuesday, April 24, 2012

So many people are dealing with the prospects of bankruptcy these days. With the tumultuous and ever-changing ways of the economy, the ability to discharge outstanding debt through a Chapter 7 filing or to reorganize and consolidate payments through Chapter 13 bankruptcy can be vital to residents in Phoenix, Arizona.
Sometimes, filing for bankruptcy can be a complex process, but for those in dire straits financially, these complications should not steer you away from filing. With the aid of an experienced bankruptcy lawyer, you can have your questions addressed correctly and save yourself the trouble of worrying about making a mistake on your filing.
For a couple in Nebraska, they chose to avoid the law in general and if the case against them is proven, it will come back to bite them.
A woman who is married to a county official in the state allegedly hid $159,000 in commissions after being awarded a grant. She and her husband entered bankruptcy in 2003 and obtained the grant funds in 2004. It wasn’t until six years later, in 2010, when the wife sent the bill to the county board – which reimbursed her and had the influence of her husband, who is a member of the panel.
Federal prosecutors and a state auditor are looking into the issue and will attempt to charge the couple with bankruptcy fraud.
Ultimately, this will cause more financial pain for the couple, all because — if proven — they deceived officials with their bankruptcy filing and then attempted to cover it up. It serves as a warning to bankruptcy filers everywhere to have a professional look over your filing, such as a legal representative with knowledge of the ins and outs of bankruptcy law.

Source: Omaha World-Herald, “Buffalo County board chairman, wife indicted,” April 18, 2012
Tags: fraud, personal bankruptcy


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