Bankruptcy Court for the Central District of Illinois Court Cases

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  1. In Re Jarvis (2008)

    IT IS FURTHER ORDERED that Debtor is granted 14 days from the date of this Order to file an Amended Plan consistent with the Opinion entered herewith. If Debtor fails to file an Amended Plan within 14 days of the date of this Order, Debtor's case will be dismissed without further notice or hearing.


    Court: Bankruptcy Court for the Central District of Illinois Docket: 07-72281
  2. In Re Lilly (2007)

    This matter is before the Court on the objection of Americredit Financial Services, Inc., (AFS) to confirmation of the Amended Chapter 13 Plan proposed by the Debtor, Darla Lilly (DEBTOR). The issue is whether the lien retention provision added by BAPCPA to Section 1325(a)(5)(B)(i) prevents a Chapter 13 debtor who is not entitled to a discharge from modifying the interest rate on a secured claim and, if permitted, the postbankruptcy effect of such modification. For the following reasons, the [...]

    Court: Bankruptcy Court for the Central District of Illinois Docket: 07-80008
  3. In Re King (2003)

    This matter is before the Court on a Motion to Modify the Automatic Stay filed by Bank One, Illinois, NA ("BANK ONE"), requesting modification of the automatic stay to foreclose its second mortgage on the homestead real estate owned by the Debtors, Chester L. King and Mary B. King ("DEBTORS"), because the mortgage is not being paid in the confirmed Chapter 13 plan. Since the Court agrees with the DEBTORS' contention that BANK ONE'S second mortgage was properly stripped off at confirmation, as [...]

    Court: Bankruptcy Court for the Central District of Illinois Docket: 02-82692
  4. In Re Kucera (2007)

    IT IS HEREBY ORDERED that judgment is entered in favor of the Defendant, Josef Kucera, and against the Plaintiff, Hickory Point Bank & Trust, FSB, on the Complaint to Determine Dischargeability of Debt. The Defendant's obligations to the Plaintiff are not excepted from the discharge previously granted to the Defendant.


    Court: Bankruptcy Court for the Central District of Illinois Docket: Bankruptcy No. 04-75268, Adversary No. 05-7017
  5. In Re Pearson Industries, Inc. (1995)

    In stage one of this litigation between the Plaintiff, the Trustee in Bankruptcy (TRUSTEE) for both PEARSON INDUSTRIES, INC. (PEARSON) and INDUSTRIAL AND MUNICIPAL ENGINEERING, INC. (IME),[1] and the Defendant, McCORD AUTO SUPPLY, INC. (McCORD), the parties filed cross motions for summary judgment on the issues of liability, reserving any issues of damages. This Court found for the TRUSTEE on the issue of liability on Count II of the complaint alleging that the Debtor's return of certain [...]

    Court: Bankruptcy Court for the Central District of Illinois Docket: Bankruptcy Nos. 89-81684, 89-81834. Adv. Nos. 90-8116, 90-8109
  6. In Re Lewis (1992)

    On November 2, 1990 William Theodore Lewis, Jr., the Defendant, was disbarred by the Supreme Court of Illinois. On July 26, 1991 the Supreme Court assessed disciplinary costs in the amount of $5,010.46 against the Defendant pursuant to Illinois Supreme Court Rule 773. On the same date, the Supreme Court entered judgment against the Defendant in favor of the Attorney Registration and Disciplinary Commission of the Supreme Court of Illinois, the Plaintiff, in the same amount. The costs and [...]

    Court: Bankruptcy Court for the Central District of Illinois Docket: Bankruptcy No. 91-71689 LL, Adv. No. 91-7169
  7. In Re Beasley (2006)

    The issue before this Court is how the new requirement imposed on Chapter 13 debtors of an "applicable commitment period" for Chapter 13 plan payments should be interpreted. Londale Beasley, the Debtor, filed his Fourth Amended Chapter 13 Plan and seeks to have it confirmed. John H. Germeraad, the Chapter 13 Trustee, objected to confirmation on several grounds, including an alleged failure by the Debtor to propose plan payments for a properly-calculated applicable commitment period. The Debtor [...]

    Court: Bankruptcy Court for the Central District of Illinois Docket: 06-70046
  8. In Re Dunbar (2004)

    This matter came on for trial on the amended complaint filed by Richard Barber, as Chapter 7 Trustee (TRUSTEE) of the estate of James and Sandra Dunbar, the Debtors (individually referred to as JAMES or SANDRA and collectively referred to as the DEBTORS), against the DEBTORS and CNH Retirement Savings Plan (CNH PLAN), as Trustee of the 401(k) plan of James Dunbar, to avoid, as a fraudulent transfer, the prepetition repayment of a sizeable loan borrowed from JAMES' 401(k) account.


    Court: Bankruptcy Court for the Central District of Illinois Docket: Bankruptcy No. 01-84333. Adversary No. 02-8101
  9. In Re Martin (2007)

    This matter comes before the Court upon the United States Trustee's ("UST") Motion to Dismiss Pursuant to 11 U.S.C. § 707(b)(1) and (b)(2) ("Motion to Dismiss"). The Court has considered the evidence and the arguments of counsel and finds that the Debtors have established sufficient "special circumstances" to overcome the presumption of abuse upon which the UST relies in seeking dismissal. The UST's Motion to Dismiss will be denied.


    Court: Bankruptcy Court for the Central District of Illinois Docket: 06-71461
  10. In Re Sielschott (2005)

    The Defendant, William Sielschott, worked for the Plaintiff, Shelby Shore Drugs, Inc., from September, 2000, to May 9, 2003. Mr. Sielschott was the pharmacist and manager of Shelby Shore's retail facility in Shelbyville, Illinois. During the course of his employment, Mr. Sielschott embezzled $179,549.91 from Shelby Shore. Criminal charges were filed against Mr. Sielschott which resulted in his guilty plea, conviction, and incarceration. In addition, Mr. Sielschott repaid to Shelby Shore the [...]

    Court: Bankruptcy Court for the Central District of Illinois Docket: Bankruptcy No. 04-75038, Adversary No. 05-7046
  11. In Re Smith (2008)

    This matter is before the Court on the Motion by the United States Trustee ("UST") to Dismiss the Chapter 7 case filed by the Debtors, Earl (EARL) and Vicky Smith (together the "DEBTORS"). The Motion seeks dismissal pursuant to Sections 707(b)(1) and (b)(2) of the Bankruptcy Code. The issue is whether a 401(k) loan is a secured debt or a "special circumstance" so as to defeat the presumption of abuse that otherwise arises.


    Court: Bankruptcy Court for the Central District of Illinois Docket: 07-82462
  12. In Re Innis (2005)

    Before the Court is the motion for turnover filed by Charles E. Covey, Chapter 7 Trustee (TRUSTEE), seeking the nonexempt portion of federal and state income tax refunds payable to the Debtor, Jeffrey H. Innis (DEBTOR), and his non-debtor spouse.


    Court: Bankruptcy Court for the Central District of Illinois Docket: 04-85143
  13. In Re Carlton (2007)

    This matter comes before the Court upon the request of Alan D. Carlton and Diane S. Carlton ("Debtors") for confirmation of their First Amended Chapter 13 Plan ("Amended Plan") and an Objection to Confirmation filed by the Chapter 13 Trustee. The Trustee asserts that the Debtors are not paying into the Amended Plan all of their projected disposable income for the applicable commitment period and, therefore, confirmation of the Amended Plan should be denied pursuant to 11 U.S.C. § [...]

    Court: Bankruptcy Court for the Central District of Illinois Docket: 06-71322
  14. In Re Integrated Agri, Inc. (2004)

    Before the Court are the motions to dismiss the Complaint filed by Richard E. Barber, as Chapter 7 Trustee (TRUSTEE) for the estate of Integrated Agri, Inc. (DEBTOR), against Charles G. Westbay, Michael W. Maulsby, Kent A. Nixon, and Steven L. Westbay (collectively referred to as "DEFENDANTS"), to avoid fraudulent transfers arising out of a cross-purchase of the DEBTOR'S stock, filed by each of the DEFENDANTS and the TRUSTEE'S motion to file an amended complaint.


    Court: Bankruptcy Court for the Central District of Illinois Docket: Bankruptcy No. 01-84536. Adversary No. 03-8261
  15. In Re Industrial & Mun. Engineering, Inc. (1990)

    Prior to the Debtor filing its bankruptcy proceeding, the Defendant had been employed by the Debtor and had sued the Debtor for wages due. In December of 1987, the litigation was settled for $42,500.00 and judgment was entered for that amount. To satisfy the judgment, the Debtor made an initial payment of $10,000.00, and over a twenty-two month period, four $5,000.00 payments in six month intervals. The last payment was made on September 5, 1989. After the Debtor's bankruptcy proceeding was [...]

    Court: Bankruptcy Court for the Central District of Illinois Docket: Bankruptcy No. 89-81834, Adv. No. 90-8107
  16. In Re Hennings Feed and Crop Care, Inc. (2007)

    The issue before the Court is whether numerous sales of agricultural chemicals made by the Debtor, Hennings Feed and Crop Care, Inc. ("Hennings") to the Defendant, Ottawa Plant Food, Inc. ("Ottawa") at deeply-discounted prices were fraudulent conveyances. For the reasons set forth below, the Court finds that such sales occurring after May, 1998, were fraudulent conveyances and that the Plaintiff, Roger W. Stone, as Trustee of the Hennings bankruptcy estate, is entitled to a judgment against [...]

    Court: Bankruptcy Court for the Central District of Illinois Docket: Bankruptcy No. 99-72801. Adversary No. 01-7091
  17. In Re Cooper (1988)

    On April 27, 1984 Darlene and Alva Cooper, ("Darlene" and "Alva" respectively), were divorced. The divorce judgment incorporated by reference a separation agreement entered into by Darlene and Alva on February 21, 1984. Among other things, the separation agreement provided that Alva was obligated to pay the couple's 1983 Federal income taxes and the 1983 real estate taxes on their marital residence. Alva failed to pay either of these tax obligations. As a result, the Internal Revenue Service, [...]

    Court: Bankruptcy Court for the Central District of Illinois Docket: Bankruptcy No. 86-90673, Adv. No. 86-9184
  18. In Re Hartman (1997)

    Prior to her marriage to Scott Hartman, Tamara Hartman purchased a home which she mortgaged. When she married Scott Hartman, he signed the mortgage note. From the time of their marriage, payments on the mortgage note were made from a joint checking account. For a time before and after their child was born, the sole source of the mortgage payments was the earnings of Scott Hartman. The terms of the mortgage note required that the mortgage debt be rewritten in November, 1997, and the Debtors [...]

    Court: Bankruptcy Court for the Central District of Illinois Docket: Bankruptcy No. 96-83249
  19. In Re KZK Livestock, Inc. (1998)

    Kendall Knowles (KNOWLES) was the sole shareholder, director, and officer of KZK Livestock, Inc., an Illinois Corporation (KZK). KNOWLES had a loan with Production Credit Services of West Central Illinois, FLCA and Production Credit Services of West Central Illinois, PCA (jointly referred to as "PCA"). KZK repaid the loan. KNOWLES was also operating a check kite involving a KZK bank account at the First National Bank of Blandinsville (FIRST). The funds used to repay the loan came from the bank [...]

    Court: Bankruptcy Court for the Central District of Illinois Docket: Bankruptcy No. 91-82986, Adversary No. 95-8069
  20. In Re Westfall (2007)

    The issue before the Court is whether a non-dischargeable judgment should be entered against the Debtor/Defendant, Lester Westfall, and in favor of the Plaintiff, Trustees of the Operating Engineers Local # 965 Health Benefit Plan ("Plan") for reimbursement of medical benefits paid on behalf of the Debtor's ex-wife by the Plan. After considering the testimony of the parties and the arguments of counsel, the Court finds that the Debtor fraudulently failed to inform the Plan of his divorce and [...]

    Court: Bankruptcy Court for the Central District of Illinois Docket: Bankruptcy No. 05-75961, Adversary No. 06-7033

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