Thanks Des. Unfortunately, there was no "expressed" trust only a familial understanding that was so violated. However, I have finally received a copy of their Chapter 13 filing and schedules, wherein intentional and absolute fraud is present.

The Statement of Financial Affairs is a work of pure fiction, but I will refer specifically to:

• Item 1: Income from employment or operation of business:

 Their reported "gross" income for the past two years was explicitly understated;

• Item 2: Income other than from employment or operation of business: Was checked “NONE”.

 This answer is absolutely bogus;
 A good portion of the “documented” theft/financial abuse occurred within the required two year reporting period. According to the IRS, stolen money is taxable unless it’s returned the same year it was stolen.

That being said, my parent has no more money to “chase” this vanishing rainbow, so who would I go to with the “proof” they committed fraud on their petition?

Background: When the abuse was discovered, I was able to track the theft from my parent’s bank offsets and check endorsements. There was over $106,000 that was deposited into various bank accounts that belonged to the debtor during one of the two years they are required to report.

• Regrettably, from their respective bank accounts I don’t know where the money went…so who can follow the money from there?
• Is there anyone/agency I can get this information to that would get their bankruptcy dismissed?

I have scheduled a phone interview with a Bankruptcy attorney to discuss this, but he has made it clear this is beyond the scope of his normal practice. Should I just save the money, and report this myself to the…Trustee, the debtor’s attorney or who?

Any help is greatly appreciated.