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Houston Bankruptcy Attorney Indicted for Bankruptcy Fraud

On February 14, 2014, Houston Attorney Calvin Braun was indicted by a federal grand jury on one count of bankruptcy fraud and 3 counts of fling false bankruptcy declarations.  If convicted on any one of these charges, the penalty is a maximum prison sentence of 5 years, a fine of $250,000, or both.

Braun was arrested four days later on February 18, 2014. He was released after posting a $25,000 bond which conditioned his release on his promise not to accept any more bankruptcy cases. You can view copies of the federal indictment here: Calvin Braun Indictment. You can also view the Bankruptcy Court opinion issued by Judge Jeff Bohm which describes the conduct in more detail: Stomberg, 487 B.R. 775 (Bankr. S.D. Tex 2013).

The moral of the story – carefully choose your bankruptcy advisor. Bankruptcy is complicated. When in doubt, follow the guidelines specified in my article on “How to Choose a Bankruptcy Lawyer.”

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