A former Chicago lawyer, Norton Helton, has been convicted on nine charges of bankruptcy fraud, as well as other criminal charges. Helton, working with co-defendants Charles White and Felicia Ford, scammed vulnerable homeowners by offering them false mortgage bailout assistance programs.

From a Chicago Tribune article by Ameet Sachdev, “Under the scheme, homeowners were persuaded to sell their property to ‘investors’ with the expectation they would be allowed to remain in their homes while they paid down debt and repaired their credit through bankruptcy. After a year, clients would have the right to repurchase their homes, if financially able…”

However, at the time of the sale, White, who had owned a real estate company that offered susceptible homeowners a ‘mortgage bailout program’, stripped the former owners of their homes’ equity. He and Ford, a closing agent for a title company that worked closely with White, also obtained over $1.6 million in mortgage financing for investors by preparing fraudulent loan applications with false employment and income information.

According to Assistant U.S. Attorney Joel Hammerman, “’The people who went through bankruptcy did so as part of a bailout program. [They] were told that could improve their credit by going through Chapter 7 [personal bankruptcy].’”

Helton allegedly hid the home transfers from the bankruptcy petition to hide $400,000 of his clients’ assets.

Bankruptcy trustee, Gregg Szilagyi, who testified at the trial described the crime as “’despicable’”. “’They were taking advantage of people at their lowest point, facing foreclosure. They wound up stealing their property.’”

If you find yourself facing foreclosure on your home, filing Chapter 7 or Chapter 13 personal bankruptcy could help you make a fresh start. For experienced, knowledgeable and trustworthy bankruptcy assistance, contact the attorneys from www.legalhelpers.com. Call toll-free 800-260-1402 today for your initial free consultation or come into one of their 100 offices across the country.

“Nearly half of early baby boomers likely won’t live happily ever after because of scant savings.” Approximately 47% of early baby boomers [age 56-62 years] are not expected to have enough money to cover basic living expenses and health care costs during retirement, according to the Employee Benefit Research Institute (EBRI). These figures are, however, an improvement over a 2003 study, in which 59% in the same group were expected to be cash-strapped during their so-called ‘golden years’.

In a Chicago Tribune article by Gail MarksJarvis, a research director for the EBRI states, “’Their [retirees] Social Security alone will not pay for all they need.

Although Gen X members, 36-45 year-olds, may be in slightly better shape as they approach their retirement years, over 44% may run of savings before they run out of breath. The author states that inadequate savings will be a nightmare for those who expect their retirement to be at least as comfortable as their working years. New taxes and/or limits on Social Security pay-outs could very well negatively impact retirees as they enter the second decade of the millennium. (As an aside, we had dinner last night with a friend who is a very bright investment broker, a principle with a well-respected firm in Chicago, who pointed out this exact scenario.)

Middle-and lower-income people, while most at risk for running out of funds mid-retirement, are not alone. Even those boomers earning over $72,500 could be in jeopardy if they need to enter a nursing home early in their retirement; nursing home costs now average $200/day.

The Social Security dilemma? When Social Security was established in the 1930s, life expectancy was about 62 years. The average is now 78 years, with about 40% of women living to the ripe old age of 90! This further emphasizes the need for 401(k) plans, IRAs or other secure retirement savings plans. Following the thud of the stock market in 2007, portfolios remain 27% down, with $5.4 trillion in stock market money gone on paper. Many conservative investors are about back to square one, having made up losses but having made little or no gain.

If you have money to invest, do so carefully (like those mating porcupines), making regular deposits to those 401 (k) and IRA plans.

If your investments have disappeared and you find yourself wallowing in a sea of debt, filing for Chapter 7 or Chapter 13 personal bankruptcy may allow you to start a new financial life. If you are considering filing for bankruptcy protection, contact the lawyers at Legal Helpers. We are knowledgeable and experienced in the field of Chapter 7 and Chapter 13 personal bankruptcies. Call toll-free 800-260-1402 today for your initial free consultation or log onto www.legalhelpers.com.

The Texas Rangers bankruptcy sale has hit nothing but bumps and snags.  The latest update is that the bankruptcy trustee assigned to the case has urged the team to dismiss their current law firm, Weil Gotshal & Manges, for not operating in the team’s best interest. 

Since WGM has received millions from Rangers owner Tom Hicks, the bankruptcy trustee argued that there was no way the law firm could successfully operate in the team’s best interest.  He urged the Rangers to hire new, more objective legal representation, one that didn’t add to their pile of millions the longer the bankruptcy case dragged on.

The creditors have been dragging their heels, waiting for a bigger payout.  They have been holding their breath longer since the first George W. Bush presidential term, as the president walked away from the team in 2000 with a $15 million payout and left creditors tapping their toes with impatience.  During the Rangers’ bankruptcy, creditors have been holding out for a higher bid and a higher chunk of the sale.  The Rangers’ former sports attorney Chuck Greenberg had secured the team a $575 million deal—a generous offer, considering how much debt the new owner will be saddled with, $204 million in liabilities.  The creditors (including Alex Rodriguez, who is still waiting on a $23 million paycheck) rejected this plan, so the Rangers countered with a proposal that the next bidder would be at least $20 million higher.  The creditors had initially put their foot down and said their absolute minimum payoff should be $320 million, while they are met with the melodious sound of crickets at each bankruptcy auction.  Truly, the lack of any viable buyers beyond the $575 million dollar point has signaled to creditors that they may just have to bite the bullet and settle.

The U.S. and the Texas Rangers share a former owner.  While neither a country nor a baseball team is able to stick him for our current debt, we can take resolve in the safe haven of bankruptcy.  Bankruptcy protects everyday consumers from crises like foreclosure and creditor lawsuits.  If you need the sanctity of bankruptcy to protect your assets, please call Legal Helpers for a free consultation at 1-800-260-1402. www.legalhelpers.com