Personal bankruptcy Legislation

Lawyer facing ‘world of economic claims’ could be jailed for refusing to turn more than documents in personal bankruptcy

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A law firm whose company was forced into personal bankruptcy following clients complained about more than $8 million lacking in escrow resources was held in civil contempt Tuesday for failing to flip around documents.

U.S. Personal bankruptcy Decide David S. Jones of the Southern District of New York claimed New York real estate law firm Mitchell Kossoff could go to jail if a federal district choose affirms his results, report Legislation360 and Reuters.

Jones reported he thought no purchase “short of incarceration” was possible to induce compliance with his rulings, according to Law360.

“Given the environment of financial promises presently aimed at Mr. Kossoff and no matter what belongings he has, I really don’t see fiscal sanctions could maybe be productive, and I do not assume a mere declaration or certification that he is in contempt would be sufficient, supplied all of the negative publicity and legal publicity he already faces,” Jones stated.

Kossoff has argued by way of his attorney that he is below investigation by the Manhattan district attorney’s business office, and he does not want to give up his Fifth Modification ideal versus self-incrimination by turning more than the paperwork.

Jones ruled in opposition to that claim Aug. 5. Kossoff was essential to sustain data for his regulation firm, Jones said, and he has the obligation to cooperate with the bankruptcy trustee as the responsible officer for his law organization.

At the hearing Tuesday, Kossoff’s attorney, Walter Mack, claimed Kossoff had turned over documents that were being not privileged. Other documents were being seized by the district attorney’s office, he mentioned.

Mack promised to supply schedules of money owed owed, with privilege assertions provided, in accordance to Legislation360.

“You won’t automatically be overjoyed with what I have to say, but I’ll file them,” Mack mentioned.