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Is it legal for me to give information about the debtor to the bankruptcy case trustee?

Reno, NV |

I am a creditor in a bankruptcy case. I believe that the debtor is hiding cash assets. If I have information about these cash assets garnered from a background check that I paid for, is it legal for me to give this information to the bankruptcy case trustee?

Attorney Answers 5

Posted

As long as the information that you received is not privileged, then yes. It is not uncommon for creditors to give information to the trustee about potential assets.

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Posted

As long as the background check was done legally, then yes. The Trustee represents the interests of creditors, not the debtor in bankruptcy. You're free to talk to the Trustee if he/she will talk to you.

William Devine, II.
Rainey Devine

I am an attorney, just not your attorney (yet). Any answers here are to be deemed informational unless and until you retain me as your attorney for actual legal services and legal advice. I offer free in-person consultations so feel free to contact me offline by email or phone. If you like my answer, please hit the thumbs up button.

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Richard Edmund Hawkins

Richard Edmund Hawkins

Posted

What Mr. Devine said. If this is from an illegal wiretap, or a breakin, or some such, go see a criminal defense attorney instead of the trustee. If the check was legal, then let the trustee know.

Posted

As long as the information was obtained legally and isn't privileged you can speak to the Trustee.

Trustees routinely receive information about undisclosed or missing assets as a result of the "EX" factor.
Ex-wives, Ex-husbands, Ex-business partners, Ex-employees, Ex-customers...

Nels Hansen is a bankruptcy lawyer in Austin Texas and accepts clients in Austin, Georgetown and Pflugerville. We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code and have done so proudly since 1996. The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship.

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Posted

Contact the office of both the panel trustee & the United States Trustee to report this information. Don't be surprised if they already know about this information because every bankruptcy case gets a courtesy review in the FBI database for assets missing from the bankruptcy petition. The debtor is given an opportunity to correct any mistakes at the 341 meeting, but after that, any lies that catch up to them will have serious consequences. Hope this perspective helps!

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Posted

Please make sure the information was obtained properly and legally. I was a staff attorney for a Trustee and from time to time we received information from time to time regarding assets. Depending on the timing we would bring it up in the 341 or seek a 2004. The creditors who usually turned over the information were usually ex-spouses after a divorce proceeding. We would also complete our due diligence to make sure this was not in spite and firmly based on facts.

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