Bankr. No.:
99-10071
Chapter:
12
Date of Decision:
August 30, 2004
Issue:
Whether Debtor’s motion to incur debt should be granted where creditor objected because it had not been paid?
Ruling:
Debtor’s motion to incur debt was approved because the purpose of obtaining the credit was to finish making plan payments to unsecured creditors. The objecting creditor, however, was not going to receive any of the borrowed funds because it had not timely filed a proof of claim. The objecting creditor’s claim would not be discharged because the claim "was not provided for by the plan" as required for discharge under 11 U.S.C. § 1228(a).
Full Bankruptcy Court Decision:
