Maryland federal bankruptcy fraud penalties are severe consequences of allegedly committing fraudulent corporate offenses. The penalties for fraudulent concealment of assets depend on the amount of money involved and the nature of the crime. If convicted of a charge under the statute of fraudulent concealment of assets, a person potentially could face up to five years in prison in addition to substantial fines related to any loss that was incurred. Therefore, anyone facing these charges should consider discussing their case with an established federal fraud attorney.
A person can be charged with bankruptcy fraud for doing something their corporate office instructed them to do. The law allows a person to be charged if there is probable cause that they committed the crime. The conduct itself must have been done knowingly and fraudulently.
A person could still do something knowingly and fraudulently and have it come from a directive from supervisors. They could certainly be charged and convicted of a crime. The government has a much lower standard of proof to file charges, but to be convicted, the charges need to be proven beyond a reasonable doubt.
If there is enough suspicion to convince the court that there is probable cause, then a person can be charged. There can be an indictment and they could potentially face criminal consequences.
Just like with any federal case, Maryland federal bankruptcy fraud penalties can be enhanced due to any aggravating factors involved. An aggravating factor could be any scenario of obstruction after the charges have been filed. Commonly, obstruction in bankruptcy fraud cases include the destruction of documents with the intention of depriving the government of their ability to submit a subpoena.
If the accused attempts obstructing the government’s investigation and done with the intent to do that then in addition potentially be an obstruction of justice, that can be an enhancement. When it is time for sentencing, the government can argue that the penalty should be enhanced because of that. In addition, the monetary value of the fraudulent behavior kind of drives the sentencing guidelines and determines the length of the sentence. When more money is involved, the increased value of the loss is essentially an aggravating factor because that increases the potential sentence and punishment.
Bribery of a bankruptcy creditor occurs when the petitioner or any other individual really tries to induce a creditor to influence their position in the bankruptcy proceeding. The most common way is to try to get the creditor to get out of or to withdraw their claim. That could be a family member of the petitioner trying to get the creditor out of the case. That could be done with money or through anything of value so it could be to a straight financial bribe. It could involve property, a position in a company, or intangible benefit, but if it is something of value to try to get the creditor to act in a certain way under the bankruptcy proceedings, it is considered a bribe.
The state of Maryland cannot charge a person with bankruptcy fraud. It is a federal charge, so it is going to be prosecuted by the U.S. government. The state law can be involved to some degree, such as determining the value the property involved and the order and priority of creditors. However, declaring bankruptcy is a federal process.
If a person declares bankruptcy, they have done that in federal court and it is managed by the federal court in accordance with federal law. Therefore, any alleged fraud that was committed during the process or pursuant to that process is considered a crime against the US government and will be prosecuted as such. For this reason, an attorney could be beneficial in your fight against potential Maryland federal bankruptcy fraud penalties.