Bankrupt means an individual is legally insolvent. They do not have the money or the assets to pay all their debts. When this happens, the courts will declare a person bankrupt and their property will be sold. The money made is then used to pay off debts and creditors. Whatever debts or creditors are still unable to be paid are forgiven.

It is a federal crime to file for bankruptcy in an attempt to conceal your assets in order to be released of all your debts by portraying yourself as being incapable to pay. This is a federal crime, and carries a sentence of a fine up to $250,000 and/or five years in prison.

There are many types of federal bankruptcy fraud:

Concealment of Assets occurs when a person conceals some of their assets knowing that creditors cannot go after what they do not know about.
Multiple Filings occurs when a person files for bankruptcy in more than one using the same assets, but leaving out some assets to protect valuables from total liquidation when debts are paid.

If you are being charged with bankruptcy fraud, you need an experienced and knowledgeable federal defense attorney. Jones & Hull, P.C. will work to protect your rights and your future.