Misrepresentation In Bankruptcy Disclosure Statements

All bankruptcy cases and forms require disclosure of vast amounts of personal financial data. These disclosure statements must be sworn and filed with the court. As a public record, anyone may review schedules filed in connection with any case. Debtors who misrepresent statements of fact are subject to fines and sanctions, including dismissal of a case. Also, a new liability standard after reform changes the measure of culpability, so that now any untrue statement, whether intentional, negligent, or innocent mistake, may result in dismissal.