Lessons From Lenny Dykstra

Former All-Star New York Mets outfielder Lenny Dykstra is already serving jail time for various other criminal convictions, but he now is adding another crime to his sentence: bankruptcy fraud.

Strike Out

Dykstra was indicted on three felony counts, including bankruptcy fraud, concealment of assets and money laundering earlier this month. Originally facing a two and half   year prison sentence for hiding and selling sports memorabilia that were designated for liquidation in his bankruptcy filing, Dykstra is walking away with a generous 6 month term instead. U.S. District Judge Dean Pregerson also ordered him to pay $200,000 in restitution and perform 500 hours of community service.

Unfortunately, Dykstra isn’t the only person to have faced similar consequences for such actions. What some people may do intentionally in attempt to keep possession of their assets, many others have done unintentionally. Either way, the consequences for bankruptcy fraud can be steep.

Anyone considering bankruptcy is urged to consult with a Dallas bankruptcy lawyer before filing their petition. Openness and honesty are a requirement of the process, which is designed with the debtor in mind.