What most people, attorneys included, fail to recognize is that conduct which could give rise to a denial of discharge, could also be a crime, punishable by a $5,000 fine and five years imprisonment for each incident.
Under U.S. Code, Title 18, the following bankruptcy crimes are enumerated:
- concealing property of a bankruptcy estate
- falsely testifying at a creditors meeting or court proceeding
- filing false bankruptcy schedules
- filing a false proof of claim
- offering or receiving a bribe
- fraudulently transferring or concealing property (either before or after bankruptcy filing)
- concealing, destroying, mutilating, changing or withholding records.
- embezzlement of bankruptcy assets or secreting of documents by any person involved in a bankruptcy estate. This includes an attorney, a trustee, a Chapter 11 debtor-in-possession, or other person involved in post-petition estate administration
- self-dealing by a trustee or debtor-in-possession
- refusal by a trustee or debtor-in-possession to provide reasonable access to documents or accounts
- entering into an undisclosed fee arrangement for attorneys (or other) fees to be paid from property of the bankruptcy estate
- conduct by a "bankruptcy petition preparer" (other than the debtor's attorney or an employee of that attorney), which results in dismissal of a debtor's bankruptcy case
- filing a bankruptcy petition for the purpose of perpetrating a fraudulent scheme
- filing a document in bankruptcy case for the purpose of perpetrating a fraudulent scheme
- making a false or fraudulent representation, claim or promise in a bankruptcy case, or in a case falsely asserted to be pending
- concealment of property or impending an investigation relating to liquidation of a bank by the RTC, the FDIC, or like conservator or liquidating agent.
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