Asked in Bankruptcy and Family Law for Tennessee

Q: my grandfather is running a chit fund in my locality unofficially. If he doesn't pay, will I or my parent be in trouble?

My mother's parents are living in next street and they are running a small unofficial chit fund group in the locality. Everyone in this unofficial chit fund group knows that my parents and me and my brother are his family. He is very old and he is still running this chit fund thing and I have tried to tell him to stop which he does not listen to. Even though he is just further circulating the profit he makes, he is telling people around that he is giving all the profits to his grandsons and daughter to make him seem like he is doing a good thing. We are not accepting any money from him but he is saying so. If at all he says he cant pay back to the chit fund group or if he dies, will me and my parents be in any trouble? what do I do to stop him or stop others from questioning us for their money? How to handle this legally? Me and my parents are very scared that something might happen and we will be stuck in a very bad financial problem because of him.

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1 Lawyer Answer
Timothy Denison
Timothy Denison
  • Bankruptcy Lawyer
  • Louisville, KY

A: No. Neither you nor your parents should be in trouble.

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