Answer to Question 1
B
Answer to Question 2
The ten most common allegations of bankruptcy and bankruptcy-related crimes are:
(1 ) Tax fraud (2 ) False oath/statement (3 ) Concealment (4 ) Bankruptcy fraud scheme (5 ) ID theft and use of false/multiple SSNs (6 ) Mortgage/real estate fraud (7 ) Mail/wire fraud (8 ) Bank fraud (9 ) Concealment/destruction/withholding of documents (10 ) Perjury/false statement.
Bankruptcy-related crimes are found in Title 18 of the United States Code. Paralegals working with bankruptcy clients should review the federal statutes for the bankruptcy crimes such as concealment of assets, false oaths and claims, and bribery. One of the functions of bankruptcy attorneys and paralegals is to impress on clients the importance of truthfulness and accuracy in their dealings with the bankruptcy court and the potential consequences if clients break the law. Clients do not want to trigger an audit, where the accuracy, veracity, and completeness of petitions, schedules, and other information they provide is scrutinized by the U.S. Trustee Office. Although honest mistakes may be overcome with corrections and explanations, criminal acts such as concealment of assets and fraud will be prosecuted.
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