A creditor or the bankruptcy trustee has the authority to object to the overall discharge of the a consumer bankruptcy case if they believe that the debtor has committed fraud on the court. Generally the fraud in question means that the debtor has been dishonest, uncooperative, or has destroyed or hidden property of the estate. If there is no discharge than the most common purpose for filing the case is thwarted, i.e. no discharge of the debt. The debtor remains responsible for the debt and the creditors get the green light once again to pursue collection. The bankruptcy stays on the credit report and the money spent to plan and file the case is wasted.
Before a bankruptcy is filed, the debtor must be prepared to produce all information and documentation regarding his or her assets, debts and income, and as I tell my clients they may need to answer the same questions more than once.
Make sure that you use an attorney when you file a bankruptcy and that you provide that attorney with everything.