brand brand
Helping good people through bad times

Ex Tennessee FBI agent's bankruptcy fraud case to be reconsidered

Filing for personal bankruptcy is a serious and life-changing matter which can provide debt relief for those struggling financially. However, bankruptcy fraud is not taken lightly, and a Tennessee man who once served as an FBI agent now will have a chance to have his case reconsidered. He will have a chance for a new trial after raising allegations of racial discrimination involving the dismissal of two prospective black jurors at his trial.

The former FBI agent was convicted of wire and bankruptcy fraud in 2010 related to his purchasing rental properties that totaled over 1.25 million dollars. The conviction was for allegedly defrauding a bank over a line of credit of $100,000 and then lying about his bankruptcy petition.

Chapter 7 bankruptcy filers are obligated to not only disclose all assets but notify all creditors of the bankruptcy petition as well. Bankruptcy fraud occurs when the petitioner files a fraudulent involuntary bankruptcy petition, files a document including a fraudulent involuntary bankruptcy petition, or makes a false or fraudulent representation, claim, or promise concerning a fraudulent involuntary bankruptcy petition.

Generally, most consumers who are going through financial challenges view bankruptcy as a chance to eliminate debt and gain a chance for a fresh beginning. Unexpected life challenges such as unemployment and medical bills are usually the cause of uncontrollable financial struggles. Nonetheless, it is important when filing bankruptcy that the consumer completely disclose all information to the bankruptcy court and to his or her creditors, in order to successfully discharge his or her debts in bankruptcy, and avoid any suggestion of bankruptcy fraud, which can not only result in criminal charges, but also can render a bankruptcy petition unsuccessful.

Source: Kingsport Times news, "Appellate Court- reconsider Tennessee based ex FBI agents case," Associated Press, Sept. 6, 2012

No Comments

Leave a comment
Comment Information

Kenneth C. Rannick, P.C.
4416 Brainerd Road
Chattanooga, TN 37411

Phone: 423-624-4002
Toll Free: 800-257-7594
Fax: 423-624-0509
Chattanooga Law Office Map