My Bankruptcy is getting Audited!

[WantToBeDebtFre]

[nc73]

My attorney said it is probably worse than a tax audit. Good luck!!

[WantToBeDebtFre]

I wonder if the attorney is going to charge me more money?

[$$only4ever]

Sorry to hear that you were one of the lucky ones. Originally, I filed Chapter 7 under the old laws. The UST was there at my 341 meeting. (Talk about rotten luck.) I had to provide all kinds of documentation. Unfortunately, I had to file a Chapter 13. The only reason was because we were high income filers. Our attorney warned us that this might happen but really thought that we had a good chance of filing chapter 7. Anyway, it all worked out in the end.

My attorney did not charge me for the audit or the second filing fee; just the difference between his fee for a chapter 7 vs a chapter 13. I really hope that you are luckier than I was. Good luck!!

[ameliabedilia]

When you check pacer, where does it say that?

[WantToBeDebtFre]

I went under docket report and it says:

10/22/2007 10 Trustee's Selection for Audit Filed by U.S. Trustee Habbo G. Fokkena. (^Mack, Marion (ml)) (Entered: 10/22/2007)

[ameliabedilia]

I am so sorry to hear that, but I am sure it will all be fine. Everyone here will think positive thoughts for you that you get your info together easily and that it still runs just as smoothly! They sure don't give you a lot of time to gather your info do they?

I see we filed on the same day, but my 341 isn't until 11/19- wish it were sooner!

[Bandit]

I dont understand why that has to be in the audit? Because I expect to take all that stuff with me before I even file.

I always felt like doing a BK is being audited in a discreet way anyway, maybe I just don't understand what the difference is.

[SinkingFast]

We've had several people on the Forum over the last year that have been pinged for Audit. Even a few cases where extra documentation was requested, "Just 'cause" the UST wanted it.

Yeah, it's a hassle.

It's a check on the system to potentially weed out fraudulent filers. 1 in every 250 cases filed gets pulled for Audit. It was part of the New Law but didn't take effect until October, 2006.

Get your stuff together and get it out ASAP. If you provide what's requested, you'll probably never hear from them again.

[sol1899]

what checks do they do on fraudulent trustees?

[lrprn]

what checks do they do on fraudulent trustees?

Local trustees are evaluated periodically by their US trustee, but in truth, the bk system pretty much depends on all of us to notify the system that a trustee has crossed the boundary into fraud and corruption by either sending a complaint to the US Trustee or filing a lawsuit against the bad trustee -

http://www.usdoj.gov/ust/eo/ust_org/about_ustp.htm

http://www.wellsofjustice.com/action.htm

http://www.wjfa.net/pp/bankruptcy_trustees.html

[DivorceRuinedMe]

I'm sorry to hear that you were one of the unlucky ones! Hopefully it goes smoothly and you don't hear anything after you give them what they want.

[WantToBeDebtFre]

I talked to my attorney today. He's going to charge me to help me with the audit. He wants $350 up front and might end up charging $500 depending on how involved they have to be. He said he won't charge me more than $500 but he's never had this happen to one of his clients so far. I'm so mad. Not only do I have to deal with this audit but now I'm out even more money. I never thought bankruptcy would be so expensive - how stupid! But if I pay for the attorney they will do all dealings with the audit company so it seems like I'll be protected more that way. If I don't pay the extra I'll have to deal with this part alone...

[NotFun]

this is kind of crazy. But my attorney actually wanted all this information right upfront, so maybe my attorney is jumping ahead just in the event this were to happen to me.

[guzzie]

good luck to you.....