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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. My daughters' kids was removed from the home in March 2015, she has been in total compliance with the requirements of cps, she is going to court on the 4th of August. Cps had called the first team meeting last Monday to inform her that she was not in compliance, by not attending home based therapy, which is done normally with the children in the home, and now they are recommending her to have a psych evaluation, and they are also recommending that the children not be returned to the home. This is all bull hockey. In this so called team meeting which I did attend for the best interest of my child and grandbabies, I learned that no matter how much she does that cps is not trying to return the children and the concerns my daughter has is not important to cps, they only told her that she is to do as they say and not to resist or her rights will be terminated. I cant not believe the way Cps treats people knowing if they threaten you with loosing your kids you will do anything to get them back. My daughter is drug free she has never put her hands on any of her children she does not scream at her babies at all, but she is only allowed to see her kids 6 hours a week and someone has to supervise. Lets all tske a stand against the child protection services. THEY CAN NO LONGER TAKE CHILDREN FROM THERE PARENTS.

  2. Planned Parenthood has the government so trained . . .

  3. In a related story, an undercover video team released this footage of the government's search of the Planned Parenthood facilities. https://www.youtube.com/watch?v=ZXVN7QJ8m88

  4. Here is an excellent movie for those wanting some historical context, as well as encouragement to stand against dominant political forces and knaves who carry the staves of governance to enforce said dominance: http://www.copperheadthemovie.com/

  5. Not enough copperheads here to care anymore, is my guess. Otherwise, a totally pointless gesture. ... Oh wait: was this done because somebody want to avoid bad press - or was it that some weak kneed officials cravenly fear "protest" violence by "urban youths.."

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