A Wonder Lake, Ill man admits he committed fraud when he filed
bankruptcy protection in 2008. James Grossmayer, 51, was charged with bankruptcy
fraud after admitting he intentionally left out details about interest
he had ownership of from an annuity totaling thousands of dollars. He
also admits paperwork submitted to the bankruptcy court was incorrect.
Grossmayer filed for
Chapter 7 bankruptcy in September 2008. When he filed, he purposely left out information about
a New York Life annuity he had ownership interest of that amounted to
roughly $25,000. When he completed the Schedule B forms that are required
by the bankruptcy court, he admitted the information was not correct and
knew the documentation was false.
Grossmayer was recently charged for making a false declaration under penalty
of perjury in a bankruptcy case. He will be sentenced at the end of the
year in December. He faces a maximum penalty of 5 years in prison along
with a $250,000 fine, or be required to pay whichever is larger between
the gross loss or gross gain that resulted from the offense.
Bankruptcy fraud can be committed by completing one or numerous actions.
Withholding information about assets is a common form of fraud, but this
can be prevented if debtors take time to learn about their options with
a qualified bankruptcy expert in Dallas-Fort Worth before beginning bankruptcy