REUTERS Copyright (c) 2015 Thomson Reuters August 27, 2015 U.S. court approves Corinthian Colleges’ liquidation plan – WSJ Mansi Goenka (Reuters) – A U.S. bankruptcy judge has approved Corinthian Colleges Inc’s plan to liquidate its assets, facilitating the company’s final winding-down process, the Wall Street Journal reported on Wednesday. The liquidating plan sets aside more…
50 CENT FILES BANKRUPTCY
As reported on Yahoo news: Rapper 50 Cent, real name Curtis James Jackson III, has reportedly filed for federal bankruptcy protection. US reports say he filed for Chapter 11 bankruptcy protection in an American District Court. This follows a ruling from a New York jury ordering him to pay five million US dollars (£3.2 million)…
Can a Mortgage Lien Be Stripped in a Chapter 7?
As reported by Robin Miller of CBAR: A dream is over, as today in Bank of America, N. A. v. Caulkett, Case No. 13-1421 (June 1, 2015) the Supreme Court disallowed the stripping of wholly-unsecured liens in Chapter 7 cases. The court reasoned that, while a “straightforward reading” of Code § 506(a) and § 506(d) favored…
When Can You Discharge Taxes in Bankruptcy?
The 5 Rules of Discharging Taxes If the income tax meets all five rules, then the tax debt is dischargeable in EITHER Chapter 7 or Chapter 13. 1. Federal Income Taxes Only: The taxes must be strictly for taxes on income (1040 Income Tax). Taxes such as payroll taxes, trust fund taxes, sales tax or…
THE WHITE HOUSE UNVEILS: STUDENT AID BILL OF RIGHTS
The Wall Street Journal reported today that the White House is weighing whether to make it easier for Americans to discharge student loans through bankruptcy. Federal law prohibits student loans — whether made by private lenders or the federal government — from being wiped out in bankruptcy, except in rare circumstances. In a presidential memorandum…
SENATE DEMOCRATS URGE RELIEF FOR STUDENT BORROWERS NOTING THAT BIG ED WILL GENERATE OVER $100 BILLION LOAN REPAYMENTS IN THE NEXT DECADE
Bloomberg News reported that a group of Senate Democrats, led by Elizabeth Warren of Massachusetts, urged the government to offer relief to distressed borrowers, even if that dampens the profit it makes from collecting on people with outstanding loans. In a letter to Education Secretary Arne Duncan,the six senators wrote, “It is not the job…
JPMORGAN CHASE IS FORCED TP PAY OUT HISTORIC $50 MILLION SETTLEMENT ADDRESING “ROBO SIGNING” AND OTHER IMPROPER PRACTICES IN BANKRUPTCY CASES IN THE EASTERN DISTRICT OF MICHIGAN
Accoring to a USTP press release, the U.S. Trustee Program has entered into a national settlement agreement with JPMorgan Chase Bank which will require Chase to pay more than $50 million including cash payments, mortgage loan credits and loan forgiveness to over 25,000 homeowners who are or were in bankruptcy. Chase has also agreed to…