One of the principal reasons to file for bankruptcy is to stop the unending calls from creditors pestering you for money. Bankruptcy is supposed to give you a chance to start over, but how can you get that chance if creditors continue to harass you after you’ve filed for bankruptcy? An international businessman has filed for bankruptcy with his wife, and yet people continue to claim his Miami Beach-based company owes them money.
The businessman has been ordered by a bankruptcy judge to create a plan to reorganize his company. If he does not, the judge may start to liquidate his company. The Miami Herald also reports that the bankruptcy judge is frustrated with the man, accusing him of not turning over information on overseas bank accounts.
The couple’s attorney insists that the couple has provided all the documents the court has requested, including the bank account information. Despite the couple’s compliance with court orders, the bankruptcy trustee continues to argue that the information is incomplete. In addition, he has alleged that the entrepreneur misappropriated money from the bank accounts. The Miami Herald claims that the Cayman Island account had previously held $40 million.
Not only has the court questioned his ability to provide a reorganization plan and banking information, it has stopped the man from selling his home. The couple had negotiated a sale of their home to a Denver businessman for $10 million, but the judge stopped the sale before it was finalized. He wants the home to be auctioned off.
The businessman’s company has attracted many famous investors, including numerous NBA stars, all of whom are requesting their investments back.
Source: The Miami Herald, “Entrepreneur Claudio Osorio may lose home, other assets,” Jay Weaver, July 31, 2011