Many people wonder why their bankruptcy attorney has to ask so many personal detail questions. The short answer is because the law requires that you disclose all of your assets (which means everything you own), all of your debts (everyone you owe), all of your income (whatever the source), and all of your expenses (what you spend your money on). And no, “I don’t know” is not an ok answer to any of these questions.
So what if you don’t tell the court everything? What’s the worst that can happen? A slap on the hand? Not so fast. You could face a hefty fine, or time in a federal prison, or both. That’s after the FBI investigates you and asks even MORE personal detail questions.
Still not convinced that they actually prosecute people for not telling the Bankruptcy Court the truth, the whole truth, and nothing but the truth? Take a look at this FBI press release to see what a doctor in Georgia did not tell the Court, and what he’s facing now. http://www.fbi.gov/atlanta/press-releases/2013/macon-doctor-indicted-for-bankruptcy-fraud
Attorney Alissa Gay 