How do I proceed and keep him out of prison and how in the world do we get ourselves into messes like this? 10 Answers as of May 07, 2013

In 2004 lost a lawsuit and closed a business due to refusal to pay the suit. In late 2005, he entered into bankruptcy to wipe away all owed, personal and business. Just before entering bankruptcy transferred money from business account into a name to pay for material on a home he was having built. Again, just after entering bankruptcy. The cashier’s checks were written from him to a lumber yard totalling about twenty thousand dollars. The trustee couldn't see the transfer because he was never told of the remaining business account. The property was being held in his parents name and had never been in his name. Two months before the end of bankruptcy, he bought a home owner’s policy on the house being constructed. Three months after conclusion of bankruptcy, the land was transferred into his name for the cost of a dollar. He sold the property in 2012. Yet due to the fact that he was never pais for a considerable amount of work performed on the house, filed an injunction which was somehow missed by the closing company. He was paid and as you can imagine he and the new owners are not very happy. I have a close relationship with him. Is he in serious trouble here? I’m holding the check stubs, receipts and homeowners policy.

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Moffa & Bonacquisti, P.A.
Moffa & Bonacquisti, P.A. | John A. Moffa
He should see a bankruptcy attorney. Although your question seems about the sale of the property, it sounds like he might have perpetrated a fraud in the bankruptcy case by having the property held for him by his parents. If it had been his homestead and he had listed it in his bankruptcy case, he would probably be fine! Now, I'm not so sure.
Answer Applies to: Florida
Replied: 5/7/2013
R. Steven Chambers PLLC | R. Steven Chambers PLLC
You need to talk to an attorney. That's what they go to law school for and what they do. Don't ask for advice for something as serious as those on the Internet. It's like asking "how do I take out my own appendix."
Answer Applies to: Utah
Replied: 5/3/2013
Janet A. Lawson Bankruptcy Attorney
Janet A. Lawson Bankruptcy Attorney | Janet Lawson
There are several huge problems here. He needs so see a competent lawyer ASAP. First there is the problem with undisclosed assets in the bankruptcy. That house actually belongs to the chapter 7 trustee. I don't follow all of the issues with the house as you have described it. He filed an injunction to get paid? For work on a house he owned?
Answer Applies to: California
Replied: 5/3/2013
Danville Law Group | Scott Jordan
Your friend needs to consult with a bankruptcy attorney immediately. The records need to be reviewed and actions need to be taken. Unfortunately, this is not a good forum for such a sensitive matter.
Answer Applies to: California
Replied: 5/6/2013
Deborah F Bowinski, Attorney & Counselor at Law | Debby Bowinski
You don't indicate what has happened most recently to make you ask these questions in the first place. Has the US Trustee's office begun investigating? The failure to disclose assets is bankruptcy fraud, and it sounds as through there were significant assets here, both business and corporate that were hidden and undisclosed. If someone is investigating his actions then he should retain experienced counsel immediately.
Answer Applies to: Colorado
Replied: 5/6/2013
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