U.S. Department of Justice
United States Attorney
Northern District of Indiana
Joseph S. Van Bokkelen E. Ross Adair Federal Building & U.S. Courthouse
United States Attorney 1300 South Harrison, Room 3128 (260) 422-2595
Fort Wayne, Indiana 46802 FAX: (260) 426-1616
TTD: (260) 420-7258
April 19, 2006
FOR IMMEDIATE RELEASE
Released By: Joseph S. Van Bokkelen
United States Attorney
Northern District of Indiana
5400 Federal Plaza, Suite 1500
Hammond, Indiana 46320
Contact Person: Deborah Leonard
Assistant United States Attorney
260/422-2595
PRESS RELEASE
DEFENDANT SENTENCED KEVIN ALLEN was sentenced on April 15, 2005, by United States District Court Judge Theresa L. Springmann to 3 years probations with 6 months home detention. ALLEN was also ordered to pay a $1,000.00 fine, and ordered to repay restitution. ALLEN, age 37, of South Greenfield, Missouri, pled guilty to the charge 18 U.S.C. § 157 - bankruptcy fraud on December 10, 2004.
ALLEN was indicted September 22, 2004, as part of “Operation SILVER SCREEN” which was an enforcement initiative announced by the United States Trustee Program on October 28, 2004. The U.S. Trustee Program is the Justice Department component that protects the integrity of the bankruptcy system by overseeing case administration and litigating to enforce the bankruptcy laws. “Operation SILVER SCREEN” spotlighted the indictment of 21 individuals in 17 separate prosecutions on a variety of federal bankruptcy fraud counts brought by eleven U.S. Attorneys, including the Northern District of Indiana. The operation demonstrated the breadth of enforcement actions taken by the Department of Justice in combating bankruptcy fraud and protecting the integrity of the bankruptcy system.
ALLEN was charged with forging a court order and giving it to his employer. The forged court order was designed to release an actual court order directing ALLEN’s employer to pay a portion of his wages to the Chapter 13 Standing Trustee assigned to administer ALLEN’s bankruptcy case. As a result of the forged court order, the payroll office gave to ALLEN the funds that were ordered to be paid to the trustee. Subsequently, ALLEN’s bankruptcy case was converted to a Chapter 7 liquidation case, and his bankruptcy discharge denied.
The U.S. Trustee’s South Bend, Indiana Office investigated and referred this matter to the U.S. Attorney’s Office. The charges against Allen resulted from a collaborative effort among federal enforcement agencies working to combat fraud and abuse in the bankruptcy system. The Northern District of Indiana Bankruptcy Fraud Working Group includes representatives of the United States Attorney’s Office; Office of the United States Trustee for Indiana; Federal Bureau of Investigation; and the Internal Revenue Service.
U.S. Attorney Joseph S. Van Bokkelen commended the efforts of the Bankruptcy Fraud Working Group, “This investigation and prosecution is the result of the outstanding cooperative efforts by the various agencies involved. We remain committed to investigating and prosecuting bankruptcy fraud and abuse.”
“Criminal bankruptcy fraud threatens the integrity of the bankruptcy system, as well as public confidence in that system,” stated Nancy J. Gargula, United States Trustee for Indiana and Southern and Central Illinois (Region 10). “The Bankruptcy Fraud Working Group represents a united effort to combat fraud and abuse in the bankruptcy system. We appreciate U.S. Attorney Van Bokkelen’s leadership in furthering the Justice Department’s commitment to protect the integrity and ensure the effective operation of the Nation’s bankruptcy system.”
This case was prosecuted by Assistant United States Attorney Deborah M. Leonard.
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