News & Analysis as of

Criminal Prosecution Bankruptcy Court

Patterson Belknap Webb & Tyler LLP

Individuals Charged with Bankruptcy Crimes Are Connected to Controversial Mayor of Dolton, Illinois

Under federal law, a debtor may be criminally prosecuted for various kinds of misconduct in connection with a bankruptcy case, including concealing assets, falsifying information, embezzlement, or bribery. See 18 U.S.C. §§...more

Nelson Mullins Riley & Scarborough LLP

Eleventh Circuit Upholds Settlement Agreement Obtained Under Threat of Criminal Prosecution

It is widely known that federal law criminalizes certain bad acts in connection with bankruptcy cases. See 18 U.S.C. §§ 151—158. For example, 18 U.S.C. § 152 makes it a crime to, among other things, conceal bankruptcy estate...more

Seward & Kissel LLP

Not So Silver Lining, Weird Science, F is for Fraud, and Alex Jones Under the Microscope

Seward & Kissel LLP on

Below is our initial take on recent bankruptcy-related developments: Silvergate reported a $1 billion loss for the fourth quarter and said it is unable to meet an extended March 16 deadline for submitting its annual...more

Ward and Smith, P.A.

40,979 Reasons Not to "Press Charges" Against a Debtor in Bankruptcy

Ward and Smith, P.A. on

It is a cardinal sin to attempt to collect a debt or repossess collateral after a borrower files bankruptcy. Bankruptcy triggers the automatic stay – a command, not a suggestion, that collection activity ceases. This is a...more

Patterson Belknap Webb & Tyler LLP

In the News: USA Gymnastics Files Bankruptcy Due to Fallout over Sex-Abuse Scandal

A sex-abuse scandal has landed another organization in bankruptcy court. USA Gymnastics (“USAG”) filed chapter 11 last week in Indiana following a team doctor’s conviction for abusing hundreds of girls. ...more

BCLP

How Reporting a Crime May Subject You to Sanctions

BCLP on

You are a creditor and your loan is secured by personal property, let’s say equipment. The borrower recently filed for bankruptcy protection. You receive a phone call from a friend advising you that someone has a moving...more

Cole Schotz

Affirmed: New York’s Application of the In Pari Delicto Doctrine Bars Faithless Servant Claim and Bankruptcy Insider Exception

Cole Schotz on

A recent decision of the United States District Court for the Southern District of New York (the “District Court”), affirming a decision of the United States Bankruptcy Court for the Southern District of New York (the...more

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