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Bankruptcy delays collection effort

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Indiana Lawyer Rehearing

Former East Chicago Mayor Robert Pastrick has filed for bankruptcy, putting on hold the state’s attempt to seize his property to help pay off the $108 million he owes from a civil racketeering default judgment against him.

On Dec. 17, the former mayor filed a notice for Chapter 7 bankruptcy, just one day after the state AG obtained a writ of execution allowing federal marshals to seize his home and property in northern Indiana. U.S. Magistrate Judge Christopher Nuechterlein in Hammond had granted a request for the seizure of personal property, art, bonds, and jewelry, but he withdrew that writ following the bankruptcy filing.

This is the latest development in a long-standing case against the former mayor and other East Chicago officials, who were a part of a sidewalks-for-votes fraud scheme that involved the use of $24 million in city money to pave patios, sidewalks, driveways, and remove trees in exchange for 1999 primary votes. Pastrick and two former top aides were found guilty last year of running a corrupt enterprise under federal racketeering statutes, and a federal judge in March ordered a default judgment totaling more than $108 million.

In his bankruptcy filing, Pastrick says his assets are valued from $100,000 to $500,000 and his debt is more than $100 million. The only creditors he lists are the Indiana Attorney General’s Office and the Indianapolis law firm of Rubin & Levin that’s representing the state in its case against Pastrick.

Indiana Attorney General Greg Zoeller contends the judgment should not be dischargeable in bankruptcy and that this is just another attempt by Pastrick to avoid accountability and stall the collection process.

A meeting of Pastrick creditors is scheduled for Jan. 25, according to the federal court docket.

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  1. All the lawyers involved in this don't add up to a hill of beans; mostly yes-men punching their tickets for future advancement. REMF types. Window dressing. Who in this mess was a real hero? the whistleblower that let the public know about the torture, whom the US sent to Jail. John Kyriakou. http://www.nytimes.com/2013/01/26/us/ex-officer-for-cia-is-sentenced-in-leak-case.html?_r=0 Now, considering that Torture is Illegal, considering that during Vietnam a soldier was court-martialed and imprisoned for waterboarding, why has the whistleblower gone to jail but none of the torturers have been held to account? It's amazing that Uncle Sam's sunk lower than Vietnam. But that's where we're at. An even more unjust and pointless war conducted in an even more bogus manner. this from npr: "On Jan. 21, 1968, The Washington Post ran a front-page photo of a U.S. soldier supervising the waterboarding of a captured North Vietnamese soldier. The caption said the technique induced "a flooding sense of suffocation and drowning, meant to make him talk." The picture led to an Army investigation and, two months later, the court martial of the soldier." Today, the US itself has become lawless.

  2. "Brain Damage" alright.... The lunatic is on the grass/ The lunatic is on the grass/ Remembering games and daisy chains and laughs/ Got to keep the loonies on the path.... The lunatic is in the hall/ The lunatics are in my hall/ The paper holds their folded faces to the floor/ And every day the paper boy brings more/ And if the dam breaks open many years too soon/ And if there is no room upon the hill/ And if your head explodes with dark forbodings too/ I'll see you on the dark side of the moon!!!

  3. It is amazing how selectively courts can read cases and how two very similar factpatterns can result in quite different renderings. I cited this very same argument in Brown v. Bowman, lost. I guess it is panel, panel, panel when one is on appeal. Sad thing is, I had Sykes. Same argument, she went the opposite. Her Rooker-Feldman jurisprudence is now decidedly unintelligible.

  4. November, 2014, I was charged with OWI/Endangering a person. I was not given a Breathalyzer test and the arresting officer did not believe that alcohol was in any way involved. I was self-overmedicated with prescription medications. I was taken to local hospital for blood draw to be sent to State Tox Lab. My attorney gave me a cookie-cutter plea which amounts to an ALCOHOL-related charge. Totally unacceptable!! HOW can I get my TOX report from the state lab???

  5. My mother got temporary guardianship of my children in 2012. my husband and I got divorced 2015 the judge ordered me to have full custody of all my children. Does this mean the temporary guardianship is over? I'm confused because my divorce papers say I have custody and he gets visits and i get to claim the kids every year on my taxes. So just wondered since I have in black and white that I have custody if I can go get my kids from my moms and not go to jail?

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