I recently came upon an interesting article on the NACBA website.
A new program, established by the United States Bankruptcy Court for the Middle District of Florida, has helped greatly in approving loan modification and principal reduction programs between homeowners and mortgage companies. This program is running in two counties in and around Orlando, FL.
This program, which costs an additional $375 to participate, is available to Chapter 13 debtors and has shown a 90% success rate thus far with those who have applied for a home loan modification. Principal reduction efforts have worked to a lesser extent, about 20% success. The rate for state court loan modification mediation success is around 4%.
The program is set for implementation in Jacksonville, FL. I would hope that the Northern District of Illinois would take notice and consider implementing a similar program. The alternative, dealing with lender's loss mitigation departments, clearly has not worked.
The author, Ben W. Koyl, is an attorney located in Chicago, IL. He is the principal of the Law Office of Ben W. Koyl, P.C. with offices located in the Chicago Loop, Beverly Woods / Blue Island, and Joliet, IL. The firm's website is http://www.chicagobklaw.com.
Tuesday, November 22, 2011
Thursday, October 20, 2011
Update: In re Republic Windows and Doors, LLC
This week Judge Jacqueline Cox of the U.S. Bankruptcy Court for the Northern District of Illinois rendered her decision on the Defendant's, Republic Windows and Doors, LLC, motion to dismiss the bankruptcy trustee's first amended complaint.
You may remember Republic Windows and Doors as the company that bilked millions from the City of Chicago in TIF funding only to lay off all of its workers while still owing them over $150,000 in back pay. Furthermore, criminal charges were filed against a former CEO of the company.
The trustee is alleging a series of fraudulent and insider actions, including complex restructuring and sham corporations, that bilked Republic Windows of its assets.
Judge Cox granted and denied in part the Defendant's motion to dismiss. Four counts of the complaint relating to fraudulent transfers were dismissed on the grounds that the statute of limitations period (four years) had run. However, the judge opened the door for the complaint to be amended stating that a longer 10 year limitations for IRS claims may be exploited, but that "The generous IRS limitation provision is not available unless the IRS files its own claim or the Trustee files a claim on behalf of the IRS."
This is a real case of corporate greed gone awry. Stay tuned for more details.
The author, Ben W. Koyl, is an attorney located in Chicago, IL. He is the principal of the Law Office of Ben W. Koyl, P.C. with offices located in the Chicago Loop, Beverly Woods / Blue Island, and Joliet, IL. The firm's website is http://www.chicagobklaw.com.
You may remember Republic Windows and Doors as the company that bilked millions from the City of Chicago in TIF funding only to lay off all of its workers while still owing them over $150,000 in back pay. Furthermore, criminal charges were filed against a former CEO of the company.
The trustee is alleging a series of fraudulent and insider actions, including complex restructuring and sham corporations, that bilked Republic Windows of its assets.
Judge Cox granted and denied in part the Defendant's motion to dismiss. Four counts of the complaint relating to fraudulent transfers were dismissed on the grounds that the statute of limitations period (four years) had run. However, the judge opened the door for the complaint to be amended stating that a longer 10 year limitations for IRS claims may be exploited, but that "The generous IRS limitation provision is not available unless the IRS files its own claim or the Trustee files a claim on behalf of the IRS."
This is a real case of corporate greed gone awry. Stay tuned for more details.
The author, Ben W. Koyl, is an attorney located in Chicago, IL. He is the principal of the Law Office of Ben W. Koyl, P.C. with offices located in the Chicago Loop, Beverly Woods / Blue Island, and Joliet, IL. The firm's website is http://www.chicagobklaw.com.
Wednesday, September 7, 2011
Saab Automobile Files for Bankruptcy Protection in Sweden
In a move that should not come as a surprise Saab Automobile and two other subsidiaries filed for voluntary bankruptcy protection in the district court in Vanersborg, Sweden.
Swedish Automobile, the parent company of Saab Automobile, purchased the car company from General Motors last year. Their plans to turn around the struggling manufacturer have failed, and the company was forced into bankruptcy once creditors refused to continue to provide credit. The company's employees have not been paid for two months.
With fresh funding from Chinese investors, Saab hopes to continue operations and to pay its employees and current creditors in full. The main point was to forestall any potential lawsuits, which undoubtedly were forthcoming.
Interesting enough the company, through the bankruptcy process, will request monetary assistance from the Swedish government.
While Saab North America will not be directly affected by the bankruptcy, I'm sure that current Saab owners and enthusiasts feel good knowing that their beloved car company will continue to operate...at least in the mean time.
Please see the article in the New York Times for more info.
The author, Ben W. Koyl, is an attorney located in Chicago, IL. He is the principal of the Law Office of Ben W. Koyl, P.C. with offices located in the Chicago Loop, Beverly Woods / Blue Island, and Joliet, IL. The firm's website is http://www.chicagobklaw.com and http://www.southsidetaxlaw.com.
Swedish Automobile, the parent company of Saab Automobile, purchased the car company from General Motors last year. Their plans to turn around the struggling manufacturer have failed, and the company was forced into bankruptcy once creditors refused to continue to provide credit. The company's employees have not been paid for two months.
With fresh funding from Chinese investors, Saab hopes to continue operations and to pay its employees and current creditors in full. The main point was to forestall any potential lawsuits, which undoubtedly were forthcoming.
Interesting enough the company, through the bankruptcy process, will request monetary assistance from the Swedish government.
While Saab North America will not be directly affected by the bankruptcy, I'm sure that current Saab owners and enthusiasts feel good knowing that their beloved car company will continue to operate...at least in the mean time.
Please see the article in the New York Times for more info.
The author, Ben W. Koyl, is an attorney located in Chicago, IL. He is the principal of the Law Office of Ben W. Koyl, P.C. with offices located in the Chicago Loop, Beverly Woods / Blue Island, and Joliet, IL. The firm's website is http://www.chicagobklaw.com and http://www.southsidetaxlaw.com.
Tuesday, May 31, 2011
Pending Legislation to Protect Creditor Fraud
This just posted on the NACBA newsletter regarding an important bill, S. 1054, "Fighting Fraud in Bankruptcy Act". This legislation will primarily operate to protect homeowners from dishonest mortgage banks, and compel the U.S. Trustee to ensure that mortgage companies are operating on the level.
"Senate Judiciary Committee Chairman Pat Leahy (D-VT), along with Senators Blumenthal (D-CT) and Whitehouse (D-RI) introduced legislation to strengthen the tools available to U.S. bankruptcy trustees to fight creditor fraud in bankruptcy court. S. 1054, the “Fighting Fraud in Bankruptcy Act,” will bolster the EOUST’s ability to fight creditor fraud and protect homeowners in the bankruptcy process, while preventing needless litigation over its authority to do so. The legislation will: (1) clarify that U.S. trustee has a duty to take action to remedy creditor abuse of the bankruptcy process; (2) permit the bankruptcy court, either on its own or in response to a motion from the trustee, to correct or sanction misconduct and fraud committed by creditors in the bankruptcy process; (3) empower the trustee to establish audit procedures to ensure that creditors are complying with the law; and (4) require a mortgage lender to certify under penalty of
perjury that a foreclosure proceeding against active duty members of the military who are deployed is in compliance with the Servicemembers Civil Relief Act (SCRA)."
This bill was also feature in a press release here.
This bill was also feature in a press release here.
Please write your Senator asking them to vote in favor of this bill when it is presented to the Senate.
The author, Ben W. Koyl, is an attorney located in Chicago, IL. He is the principal of the Law Office of Ben W. Koyl, P.C. with offices located in the Chicago Loop, Beverly Woods / Blue Island, and Joliet, IL. The firm's website is http://www.chicagobklaw.com.
Monday, April 11, 2011
File Your Consumer Bankruptcy Case Sooner
File your consumer bankruptcy chapter 7 or chapter 13 the same day that you take your mandatory credit counseling session.
Prior to the most recent amendment of the United States Bankruptcy Code you were required to take your credit counseling session at least one day prior to the date of your case filing. Now you can take file your case the same day that you complete your credit counseling session.
This change will make it easier for consumer bankruptcy filer to get the immediate debt relief and protection from creditors that they need.
The author, Ben W. Koyl, is an attorney located in Chicago, IL. He is the principal of the Law Office of Ben W. Koyl, P.C. with offices located in the Chicago Loop, Beverly Woods / Blue Island, and Joliet, IL. The firm's website is http://www.chicagobklaw.com.
Prior to the most recent amendment of the United States Bankruptcy Code you were required to take your credit counseling session at least one day prior to the date of your case filing. Now you can take file your case the same day that you complete your credit counseling session.
This change will make it easier for consumer bankruptcy filer to get the immediate debt relief and protection from creditors that they need.
The author, Ben W. Koyl, is an attorney located in Chicago, IL. He is the principal of the Law Office of Ben W. Koyl, P.C. with offices located in the Chicago Loop, Beverly Woods / Blue Island, and Joliet, IL. The firm's website is http://www.chicagobklaw.com.
Monday, February 21, 2011
Award Winning Short Story
My wife, Nazli Mohyuddin, is an aspiring author. A while back she won a short story contest with her children's tale "The Frog King and the Cricket".
Here is the story, and feel free to share this blog posting if you find the story interesting.
"The Frog King and the Cricket"
by
Nazli Mohyuddin
There once lived a Frog King who had everything any common frog desired. Lavish ballrooms. Musicians and court jesters. Beautiful libraries. And of course, royal jewels, gold, and silver. Still the Frog King was unhappy.
One warm summer night the Frog King lay asleep when he was awakened by a peculiar sound. It was music, the likes of which he never heard before. The music filled the air with sweet notes, and its harmony had a peacefulness about it that contented the Frog King to his heart’s core.
The next day, the Frog King discovered that the music belonged to a cricket who lived in a village nearby. The Frog King asked that the cricket be brought to his palace. And the following day, the Frog King met the cricket in his court. The king praised the young cricket for his music and asked that he join his court as one of his musicians immediately.
“I’m sorry,” said the cricket. “My music is not for sale.”
The Frog King was confused. In all his years as king he was never refused anything by anyone. And for a brief moment the idea of rejection angered him.
“I must misunderstand your intentions, young cricket, or else you must misunderstand mine. I wish to purchase you as well as your music that you may play for me and be deemed the most established and most honored court musician our country has yet to hear. This would be a great privilege and an honor for one as young as you.”
“You are most kind to compliment me thus, Sire,” said the cricket. “However, my answer must remain unchanged.”
“And why is that?” said the Frog King, his temper slowly rising.
“You see, Sire, though I play for the sake of music, I also play for everyone’s enjoyment, so whatever you hear and enjoy, is everyone’s right to hear and enjoy.”
The Frog King stood up from his throne. “This is an outrage—you mean to compare me to the common frog, do you? Do you not see the difference between me and them?”
“As far as I can see, Your Majesty, you are a frog who has a great many things—more than the frog who has less. But you are still a frog, are you not?”
The Frog King laughed arrogantly. “You are young, cricket. And perhaps for that reason a bit naïve. I do have a great many things more than the common frog, but what you fail to notice is that I am king of all frogs as well. As such I am entitled to the best of things because I can afford them. Perhaps, young cricket, you doubt the price I would pay for your musical talents?”
“Not in the least, Sire.”
“But you are unemployed. You own no property, you have no place to live—“
“Sire, I’m afraid you cannot put a price on truth, nor joy, nor one’s freedom. I am free for I am neither bound by property nor possession. I live in the earth and upon the trees. When it rains I drink freely from the ponds and lakes. And when the night settles in the joy in being fills my heart to its core, and it is then that I make music. Do you not see, my dear Frog King? It is only in my freedom that I sing and make music with such ease and beauty. Without my freedom my music would soon wither away and the same musical talents you admire today would cease to be.”
The Frog King pondered the cricket’s words.
“If this is the circumstance concerning your music, then you must allow me to visit you where you can play your music for me, but for me alone.”
The cricket bowed humbly in agreement, and the Frog King permitted him to leave.
The following evening, the Frog King visited the cricket in his village. He arrived with blaring trumpets that were enough to awaken all the villagers. Then he sat upon a golden throne.
“Play for me, cricket.”
The cricket made a humble bow, and began to play music.
At the first, the Frog King felt nothing. Then a gentle tremor entered his heart. He closed his eyes. He felt he was traveling over lush green hills, flying over sparkling lakes and finally the mighty ocean itself. The king opened his eyes, and for the first time in a long time felt his anger and arrogance dissolve. He felt his heart open and close, as though it was breathing again after several years. Feeling light and carefree, the king stood up. Without knowing what he was doing, he began to dance to the cricket’s music. The king’s frogs were dazed, and the villagers expressed their amazement in hushed whispers. Their king appeared transformed, so light and agile were his graceful movements. The king danced and danced. Then a timid little frog approached the king, and the villagers held their breath. The king peered into the eyes of the little frog, who looked up earnestly at him. Then the king took the little frog by her hand and began to dance with her. The villagers exclaimed in cheers.
At once, the entire village was on its feet. They never felt such joy, such concord amongst each other. The king didn’t know what magic had befallen him and the villagers. Never in his life did he feel so free. Then he stopped suddenly in his tracks. He looked about him and the crowd of dancing villagers, in search of the cricket. He found him nestled deep in the grass, absorbed in his music.
“Cricket,” he said quietly. “I was mistaken. I’ve been king for so many years, that I’m afraid I forgot who I was. But what is all this? What is this music? I fear you have cast a spell on me.”
“It is no spell, Sire,” answered the cricket. “As you said yourself, you are only now beginning to remember who and what you are. There is great joy in that memory. And it is because of that joy, you dance. That is all.”
After the festivities subsided, the Frog King returned to his palace. He reflected on the day’s events and the cricket’s words to him. He went to bed thinking he would find it difficult to sleep after all the excitement. But as soon as the Frog King shut his eyes the sweet melodies of the cricket’s music rang in his ears and entered his heart again. He fell asleep with only one understanding: tomorrow was a new beginning.
The story can also be found on the website for Character Entertainment."The Frog King and the Cricket." I hope you enjoyed the story!
The author, Ben W. Koyl, is an attorney located in Chicago, IL. He is the principal of the Law Office of Ben W. Koyl, P.C. with offices located in the Chicago Loop, Beverly Woods / Blue Island, and Joliet, IL. The firm's website is http://www.chicagobklaw.com.
Here is the story, and feel free to share this blog posting if you find the story interesting.
"The Frog King and the Cricket"
by
Nazli Mohyuddin
There once lived a Frog King who had everything any common frog desired. Lavish ballrooms. Musicians and court jesters. Beautiful libraries. And of course, royal jewels, gold, and silver. Still the Frog King was unhappy.
One warm summer night the Frog King lay asleep when he was awakened by a peculiar sound. It was music, the likes of which he never heard before. The music filled the air with sweet notes, and its harmony had a peacefulness about it that contented the Frog King to his heart’s core.
The next day, the Frog King discovered that the music belonged to a cricket who lived in a village nearby. The Frog King asked that the cricket be brought to his palace. And the following day, the Frog King met the cricket in his court. The king praised the young cricket for his music and asked that he join his court as one of his musicians immediately.
“I’m sorry,” said the cricket. “My music is not for sale.”
The Frog King was confused. In all his years as king he was never refused anything by anyone. And for a brief moment the idea of rejection angered him.
“I must misunderstand your intentions, young cricket, or else you must misunderstand mine. I wish to purchase you as well as your music that you may play for me and be deemed the most established and most honored court musician our country has yet to hear. This would be a great privilege and an honor for one as young as you.”
“You are most kind to compliment me thus, Sire,” said the cricket. “However, my answer must remain unchanged.”
“And why is that?” said the Frog King, his temper slowly rising.
“You see, Sire, though I play for the sake of music, I also play for everyone’s enjoyment, so whatever you hear and enjoy, is everyone’s right to hear and enjoy.”
The Frog King stood up from his throne. “This is an outrage—you mean to compare me to the common frog, do you? Do you not see the difference between me and them?”
“As far as I can see, Your Majesty, you are a frog who has a great many things—more than the frog who has less. But you are still a frog, are you not?”
The Frog King laughed arrogantly. “You are young, cricket. And perhaps for that reason a bit naïve. I do have a great many things more than the common frog, but what you fail to notice is that I am king of all frogs as well. As such I am entitled to the best of things because I can afford them. Perhaps, young cricket, you doubt the price I would pay for your musical talents?”
“Not in the least, Sire.”
“But you are unemployed. You own no property, you have no place to live—“
“Sire, I’m afraid you cannot put a price on truth, nor joy, nor one’s freedom. I am free for I am neither bound by property nor possession. I live in the earth and upon the trees. When it rains I drink freely from the ponds and lakes. And when the night settles in the joy in being fills my heart to its core, and it is then that I make music. Do you not see, my dear Frog King? It is only in my freedom that I sing and make music with such ease and beauty. Without my freedom my music would soon wither away and the same musical talents you admire today would cease to be.”
The Frog King pondered the cricket’s words.
“If this is the circumstance concerning your music, then you must allow me to visit you where you can play your music for me, but for me alone.”
The cricket bowed humbly in agreement, and the Frog King permitted him to leave.
The following evening, the Frog King visited the cricket in his village. He arrived with blaring trumpets that were enough to awaken all the villagers. Then he sat upon a golden throne.
“Play for me, cricket.”
The cricket made a humble bow, and began to play music.
At the first, the Frog King felt nothing. Then a gentle tremor entered his heart. He closed his eyes. He felt he was traveling over lush green hills, flying over sparkling lakes and finally the mighty ocean itself. The king opened his eyes, and for the first time in a long time felt his anger and arrogance dissolve. He felt his heart open and close, as though it was breathing again after several years. Feeling light and carefree, the king stood up. Without knowing what he was doing, he began to dance to the cricket’s music. The king’s frogs were dazed, and the villagers expressed their amazement in hushed whispers. Their king appeared transformed, so light and agile were his graceful movements. The king danced and danced. Then a timid little frog approached the king, and the villagers held their breath. The king peered into the eyes of the little frog, who looked up earnestly at him. Then the king took the little frog by her hand and began to dance with her. The villagers exclaimed in cheers.
At once, the entire village was on its feet. They never felt such joy, such concord amongst each other. The king didn’t know what magic had befallen him and the villagers. Never in his life did he feel so free. Then he stopped suddenly in his tracks. He looked about him and the crowd of dancing villagers, in search of the cricket. He found him nestled deep in the grass, absorbed in his music.
“Cricket,” he said quietly. “I was mistaken. I’ve been king for so many years, that I’m afraid I forgot who I was. But what is all this? What is this music? I fear you have cast a spell on me.”
“It is no spell, Sire,” answered the cricket. “As you said yourself, you are only now beginning to remember who and what you are. There is great joy in that memory. And it is because of that joy, you dance. That is all.”
After the festivities subsided, the Frog King returned to his palace. He reflected on the day’s events and the cricket’s words to him. He went to bed thinking he would find it difficult to sleep after all the excitement. But as soon as the Frog King shut his eyes the sweet melodies of the cricket’s music rang in his ears and entered his heart again. He fell asleep with only one understanding: tomorrow was a new beginning.
The story can also be found on the website for Character Entertainment."The Frog King and the Cricket." I hope you enjoyed the story!
The author, Ben W. Koyl, is an attorney located in Chicago, IL. He is the principal of the Law Office of Ben W. Koyl, P.C. with offices located in the Chicago Loop, Beverly Woods / Blue Island, and Joliet, IL. The firm's website is http://www.chicagobklaw.com.
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