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Middle District

In re Lezdey

The debtors filed petitions for chapter 11 bankruptcy. The creditor filed a motion to dismiss under 11 U.S.C. § 1112.
Ruling: 
Debtors'cases were dismissed since their plans offered illusory promises of payment and were filed to delay the creditor.
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Meininger v. Khanani (In re Khanani)

Plaintiff trustee filed an objection to defendant debtor's discharge in chapter 7 bankruptcy.
Ruling: 
Debtor was denied discharge where the debtor failed to provide trustee with subpoenaed books and records and made false statements regarding a property transfer.
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Metro. Steel Inc. v. Halversen (In re Halversen)

Plaintiff creditor sued defendant debtors, alleging that the debt owed to it was nondischargeable pursuant to 11 U.S.C. § 523(a)(4) based on the debtors's fraud or defalcation while acting in a fiduciary capacity. The debtors moved to dismiss the complaint, while the creditor moved for summary judgment.
Ruling: 
Alleged violation of state trust statute was not sufficient to demonstrate fraudulent conduct and creditor otherwise failed to prove nondischargeability of debt.
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In re Meyn

Movant trustee sought to dismiss the chapter 7 case of respondent debtor pursuant to 11 U.S.C. § 707(b) or alternatively to dismiss the debtor's case under section 707(a) for "cause." The debtor's chapter 13 case had been previously dismissed for failure to confirm a plan.
Ruling: 
Abuse of chapter 7 was found where the debtor inflated expenses, failed to disclose certain interests and prepetition expenditures, and had sufficient disposable income for a meaningful chapter 13 plan.
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