Legal Question in Bankruptcy in Indiana

Re: Possible Fraud investigation

The notice of the 341 creditors meeting states the dates applicable to your case. The creditor can file an adversary action objecting to your discharge any time before the last date indicated. You would then need to file an answer to the adversary action. It would then be up to the judge to hear testimony and decide this issue. Hope you have a bankruptcy attorney.

Re: Possible Fraud investigation

There is a presumption of fraud if a loan is made within 90 days of filing bankruptcy. The fact that it occurred prior to the 90 days means they would have to prove actual fraud. Based on the facts given in your question, this would be difficult for the creditor to prove, especially since your husband became disabled after the loan was made. Defending an objection to discharge is not for the non-lawyer not well versed in evidence rules and trying cases. Get a lawyer if you do not already have one. One additional point. You said they are suggesting fraud. From this I gather they have not filed an objection to discharge as of this time. They have 60 days to file an objection unless they ask for additional time. If they file late, you must invoke the defense of the statute of limitations. If you don't, you waive it and it must be done in a prescribed manner. Again....get a lawyer.