Legal Question in Bankruptcy in Arizona

Re: Fraud

Bankruptcy fraud can be difficult to prove, but not in every case.

If assets are found which were not included on the schedules, there is

a fraud problem. There is also a problem with mis-stating material matters

such as income. Sometimes investigators will subpoena the debtor's applications

for credit and tax returns to find inconsistencies.

Probably most bankruptcy fraud cases start with a referral by a

trustee, the U.S. Trustee's office, or a judge. Typically, the case

is then investigated by the FBI. "Bankruptcy Fraud Task Forces" have

been formed in a number of areas to put greater emphasis on detection,

investigation, and successful prosecution of bankruptcy crimes.

By the way, I was a federal prosecutor for seven + years and prosecuted/investigated

several bankruptcy fraud cases myself. Back in private practice since 1996.