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How to Avoid Bankruptcy Fraud

You know that you are an honest individual, and your problem is that you have run into some financial difficulties where you need to file for bankruptcy. You know that this is a resource that is available, but you have also heard of some people being charged with bankruptcy fraud. For the average individual who is being up front with their bankruptcy filing this is not an issue. Usually the grounds for being charged with bankruptcy fraud are when an individual willingly conceals their assets and does not disclose them during the bankruptcy filing.

Another reason is when the individual knows they are filling out the forms with false information. Then there are some people who file for bankruptcy many times but in different States. On occasion a person will try and bribe a court appointed trustee which leads to fraud. Those committing these acts of fraud can end up with a $250,000 fine and even a 5 year prison sentence. Not everyone gets caught but it is not a risk you want to take. Using an experienced bankruptcy attorney is your best resource for ensuring that you are following all of the bankruptcy rules, and bringing your bankruptcy to a successful conclusion.

It is being estimated that one in every ten bankruptcies being filed has some element of fraud related to it. This is most likely going to cause bankruptcy officials to scrutinize their cases much more closely. This makes it difficult for those honest individuals who truly are using Indiana bankruptcy relief to help get them back on their feet.

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