Los Angeles Bankruptcy Fraud Defense Attorneys
When an individual or an organization can’t afford to pay their bills, they may choose to file for bankruptcy. Under bankruptcy proceedings, the court will create a plan to help creditors get the money they are owed. Once a bankruptcy case is complete, creditors must abide by the judge’s decision.
The court’s biggest concern in a bankruptcy proceeding is that the petitioner will attempt to conceal assets to avoid forfeiture. That’s why all documents filed in a bankruptcy are meticulously scrutinized.
If the documents don’t accurately reflect the petitioner’s assets and their true financial situation, the petitioner may be charged with bankruptcy fraud. Even if the petitioner simply made an honest mistake, they could face severe legal and financial consequence, including possible jail time.
If you’ve been charged with bankruptcy fraud, it’s essential to find the right attorney to protect you from aggressive federal prosecutors. The nationally acclaimed defense attorneys at Werksman Jackson & Quinn LLP will use every available tool to defend your freedom.
Call (213) 688-0460 to schedule a case evaluation today.
Bankruptcy is a legal mechanism that allows a person or an organization that is burdened by debts to establish a repayment plan. Bankruptcy is designed to protect banks and creditors, enabling them to collect as much money as possible.
Three types of bankruptcy proceedings established by federal statute are Chapter 7, Chapter 11, and Chapter 13:
- Chapter 7 Bankruptcy, sometimes referred to as “straight bankruptcy,” is designed for individuals. The court will supervise the liquidation of assets to pay creditors.
- Chapter 11 Bankruptcy allows large organizations to continue to operate and reorganize while they negotiate a payment plan with creditors.
- Chapter 13 Bankruptcy allows debtors who have a steady income to pay off their debts in a timely manner without liquidating their assets.
Bankruptcy fraud is using “scheme or artifice” to hide your assets from creditors. You may be charged with bankruptcy fraud if the court believes that any of the documents you have submitted or the statements you have made fail to accurately reflect your financial situation.
Examples of bankruptcy fraud include:
- Failure to disclose assets
- Attempting to hide assets
- Destruction of documents
- Concealing information in bankruptcy filings
- Submitting fraudulent documents
- Bribing a court-appointed trustee
- Failure to disclose offshore accounts
- Submitting documents with incomplete or inaccurate information
- Knowingly making a false statement during bankruptcy proceedings
Judges are very strict in bankruptcy cases, and petitioners who make simple filing errors are often accused of bankruptcy fraud. Conviction for bankruptcy fraud carries penalties that include up to 5 years in prison and fines as high as $250,000.
Bankruptcy is an extremely complex legal process. Federal prosecutors have substantial expertise and immense resources. Even small mistakes in the documents you file could be used to build a case against you.
An experienced white collar crime defense lawyer knows how to defend you against charges of bankruptcy fraud. The government must prove that their accusations are true beyond a reasonable doubt, which is a very high standard.
There are several compelling strategies and lines of argument your attorney can use to defend you, including:
- There was no intent to defraud
- Illegal search and seizure
- You simply made a mistake
- The government lacks evidence to prove its case
- The prosecution suppressed or mishandled evidence
If you’ve received a Grand Jury Summons, or if you’ve been questioned by federal investigators regarding a bankruptcy petition, you may be in serious legal jeopardy.
Our criminal defense attorneys at Werksman Jackson & Quinn LLP have an impressive record for defending clients against federal prosecution. We’ll fight to ensure the best possible outcome.
Call (213) 688-0460 to learn more today.
Recent Case Results
- Complete Dismissal of Molestation Charges
Attorney Mark Werksman’s 29 year old client was falsely accused of molesting two neighborhood children and was subsequently charged with felony child molestation, with a significant prison sentence hanging over his head should he be convicted. Instead, at the preliminary hearing Werksman was able to convince the court to grant his client a complete dismissal of any charges.
- Decision Set Aside
Client, a college student in a faulty Title IX case, was awarded $130,000 in attorney fees.
- Probation with No Jail Time for Drug Money Laundering Charge
Wilmington man accused in New York federal court of laundering drug money through the sale of laptop computers. Mark was able to get the case transferred to federal court in Los Angeles, where he convinced the United States Attorney to reduce the charges. His client was sentenced to probation with no jail time on a misdemeanor conviction.