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    Need help in Michigan

    I filed Chapter 7 Pro Se in September 2005. My case was discharged in February 2006.

    I was then requested by the trustee and ordered by the judge to attend an examination in August of real estate I've owned and businesses in the past.

    I hired my personal attorney to represent me at the examination. He is not a bankruptcy attorney, but is an experienced litigator. Both the trustee and an attorney for one of my creditors(bank) drilled me at the examination.

    We sent them deeds, documents, etc. However, my case STILL isn't closed? Is the trustee within his boundries to still keep my case open? Does anyone know if my attorney can make a motion to the judge to put pressure on the trustee to bring this thing to a close? Is the trustee trying to convert this to a 13? Any information would be greatly appreciated. I believe the trustee is really trying to make something out of nothing here and get blood from a stone.

    THANKS in advance!!

    #2
    First, was it the Chapter 7 Trustee that called for the examination, or the U.S. Trustee. The U.S. Trustee is part of the Federal Department of Justice and oversees the Bankruptcy program.

    If its the Chapter 7 Trustee, the answer is no, he is not trying to convert it to a chapter 13, because he would not get anything out of it (Chapter 7 Trustees make money of the money they are able to collect from debtors). My guess is, they are fishing for non-exempt assets that might be sold to generate some money for the Bankruptcy Estate to payback creditors.

    If its the U.S. Trustee, then you might have bigger problems, as the US Trustee is generally only interested in Bankruptcy Fraud, and they are the ones who will convert cases to chapter 13, however, chapter 7's are only converted to Chapter 13's on the basis of income, not assets.

    I don't know the answer to whether you can force closure of the case...but I do think at some point, I thought it was a year, that the Trustee would have to make a motion to the court to keep the case open. But I don't know, you probably need to consult with a BK attorney at this point.

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      #3
      Thanks HHM. Yes, it was the Chapter 7 trustee, not the US trustee for the examination. During the examination, I was shocked to see that the attorney for one of my creditors was allowed to be at the examination and asked numerous questions as if it was a second 341 hearing or something? Is that allowed if the judge issued the order based on real estate transactions? Wasn't this supposed to just give the trustee the right to examine me not the creditor as well?? Have you heard of this before?

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