Q: Should I report a corporation filing Chapter 7 and hiding its main asset in a US shell LLC & has also commingled funds?
I learned my former employer will be filing Chapter 7 for his privately-owned corporation mainly because of (unsecured) judgments against it. It has very few assets other than the office building it owns which has about $500k of equity. The building was always the property of a US shell LLC whose registered agent is my former employer. He also ran several personal credit accounts through the company such as vehicle loans and department store credit and commingled personal funds with business funds without recording transactions. He was an awful businessman who ripped off numerous clients who sued him and won or are currently suing him. I hate to see them not collect after all they've been through. They do not know he will be filing Ch 7. Is there somewhere I can report him? Can I do it anonymously?
A: There are a lot of things to consider here. I understand that you want to do the right thing, but you may be subject to NDAs (non-disclosure agreements) and other potential violations of privacy/confidentiality. The best advice is to contact a lawyer directly (at least the discussion will be confidential). There are some risks and potential rewards to whistleblowing--it is important to you know all the consequences before making a decision. Free to low cost attorneys can be found here: http://www.intotolegal.com/upcoming%20Events/Pro%20Bono%20Services.html
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