In previous posts we wrote about the former member of R& B group TLC, Tionne “T-Boz” Watkins filing for bankruptcy. In February 2011, the singer filed for Chapter 13 bankruptcy. She filed again, a second time, in the fall.
A method of restructuring one’s debt, filing for bankruptcy under Chapter 13, entails creating a repayment plan. The plan must be approved by the trustee assigned to one’s case and usually lasts between 36 and 60 months. At the end of that period certain (not all) remaining debts will be dismissed. It can be a good option for individuals who do not want to lose their assets.
Under the repayment plan approved in the second chapter 13 filing, Watkins was supposed to pay $2,880 each month for a total of three years.
There is now news regarding that second filing. It appears that the trustee assigned to the case recently filed documents with the court to have the case dismissed. The trusted cited several reasons for the request including the singer’s failure to:
- make the required payments
- file the required financial paperwork
- attend a creditor meeting
- include a creditor in the proposed payment plan
- provide proof of income and mortgage payments
This is the second dismissal of a bankruptcy filing she has faced in the last 12 months. The first Chapter 13 filing from last year was also dismissed.
The bankruptcy judge who dismissed the case also indicated she will not be able to file for Chapter 13 bankruptcy again for 180 days.
Source: Wall Street Journal, “Judge Scrubs T-Boz’s Bankruptcy,” Jacqueline Palank, Feb. 13, 2012