We’ve been discussing here the case of Jennifer McKinney (aka MckMama) and Israel McKinney (dba Kieran’s Contracting) and their alleged fraud perpetrated on the bankruptcy court. Questions have been raised about the likelihood of the McKinneys facing criminal charges, despite a quiet resolution to their original bankruptcy filing (they have waived bankruptcy and can never have those debts discharged in bankruptcy in the future) and the related case filed by trustee Gene Doeling objecting to the discharge of their bankruptcy (resolved with the McKinneys paying $3,500, the value of some of the assets they failed to disclose, and therefore were non-exempt and could be used to pay creditors).
The bankruptcy of Todd Brunner, a Milwaukee area landlord, was thrown out by a judge earlier this year after it was discovered that he did not disclose all his assets. He had $19 million in debts, so not being able to ditch out of them in bankruptcy was probably pretty painful. (The IRS alone says he owes $400,000 to them, but since he hasn’t filed a tax return since 2008, who knows how much higher the real number could be.) Continue reading
Jennifer McKinney (aka MckMama) and Israel McKinney appear to have settled all claims in their bankruptcy filing in which trustee Gene Doeling alleged fraud, saying:
The Debtors have concealed, destroyed, mutilated, falsified, or failed to keep or preserve any recorded information, including books, documents, records, and papers, from which the debtors’ financial condition or business transactions might be ascertained. The debtors failed to keep adequate books and records from which their financial transactions could be ascertained. The co-debtor was receiving cash payments from photography clients that were not disclosed and for which she has been unable to provide an accounting. Continue reading
If you’re not interested in the saga of the bankruptcy fraud allegedly committed by Jennifer McKinney (blogger “MckMama”) and her husband Israel, skip this article. In the latest turn of events, MckMama has claimed to have two serious car accidents in the past 8 months that have landed her in the hospital. And oddly enough, both “accidents” occurred when MckMama was alone in the vehicle.
What’s curious about this is that MckMama, the woman who obsessively photographs everything about her life and posts oodles of pictures on the internet, never posted any pictures of her damaged vehicle. Two major accidents in 8 months, and no pictures to share with her loyal readers? Continue reading
Great news out of the United States Bankruptcy Court in Minnesota, where Jennifer McKinney (blogger MckMama) and Israel McKinney filed for bankruptcy nearly a year ago. After trustee Gene Doeling ferreted out Jennifer’s financial shenanigans, he filed a complaint with the bankruptcy court objecting to the discharge of the debts. Mr. Doeling alleged that the McKinneys engaged in manipulation, destruction, concealment, and falsification of information in the bankruptcy process.
Yesterday a signed Application for Approval of Waiver of Discharge was filed with the court. This means that Jennifer and Israel McKinney have agreed that their debts should not be discharged in bankruptcy. Continue reading
Jennifer McKinney, (Morally) Bankrupt Blogger
I’ve written previously about the bankruptcy of Jennifer “MckMama” McKinney and her husband Israel McKinney of Kieran’s Contracting. Jennifer was once a popular mommy blogger at mycharmingkids.net and mckmama.com.
Until the United States Bankruptcy Court got her number and decided to take action on allegations of fraud.
Jennifer Howe Sauls McKinney has a colorful history of lying to the internets about all sorts of things, most notably her debts and her alleged repayment of said debts. Continue reading
The new MckMama McKinney house
Recently, watchers of the MckMama train wreck were treated to the news that blogger Jennifer McKinney has bought a home. This lovely home in West Salem, Wisconsin, was most recently on the market at $289,900.
Jennifer “MckMama” McKinney bought the home under a contract for deed arrangement, also called a land contract. She paid $282,500 with $20,000 up front and the balance to be paid monthly with annual interest at 6.95%. The contract matures on April 15, 2013, which means she must pay in full at that time or lose her downpayment and lose the house. Continue reading
There is little news to report in the bankruptcy case of Jennifer Sauls McKinney and Israel McKinney. In May, bankruptcy trustee Gene Doeling filed Case 12-06024, objecting to the discharge of the McKinney’s bankruptcy and alleging that the McKinneys made false and misleading disclosures in their bankruptcy filing.
The summons in the case gave the McKinneys 30 days to file an answer. According to Pacer, the site on which documents in federal cases are made available to the public, no response has been filed. Why not? It’s hard to say, but the logical conclusion might be that MckMama and MckDaddy have no real defenses to the allegations made by Mr. Doeling. Continue reading
Got fraud? If you find yourself being accused of a fraud on the bankruptcy court like Jennifer MckMama McKinney (i.e. falsified, misleading, destroying, manipulating, etc.), what can you do? If you could turn back the hands of time, I would tell you to be honest and fully disclose everything in your bankruptcy filing.
But once the wheels of fraud are in motion, it’s awfully hard to stop them.
One of the techniques used by debtors trying to save their skin after red flags of fraud have been uncovered by the bankruptcy trustee is an attempt to dismiss the bankruptcy case. This move makes little difference in a case of suspected fraud. The bankruptcy is likely going to be denied anyway, so asking to have the bankruptcy dismissed does not get the debtor ahead. And a debtor can’t just automatically get a bankruptcy dismissed. The judge decides whether the bankruptcy can be dismissed. Continue reading
Recently, I wrote here about the story of Jennifer McKinney (the mommy blogger known as MckMama) and her alleged fraud on the United States Bankruptcy Court in the District of Minnesota. In short, Jennifer and Israel McKinney filed bankruptcy, claiming nearly $750,000 in debts, while failing to disclose the extent of their assets and income.
The bankruptcy trustee has asked the court for a denial of discharge of the McKinneys’ debts, based on false disclosures, lack of disclosure, manipulation of income, and destruction of records. In particular, Jennifer McKinney is accused of falsely claiming her blogging income is $1,500 per month, while she was depositing at least $7,000 to $10,000 per month to her bank account. She reported to the bankruptcy court that her income for 2011 was $55,000, while the records for that year show more than $148,000 of income. In addition, certain assets including cash, accounts receivable, personal property, and (very valuable) domain names and websites were not disclosed in the bankruptcy filing. Continue reading
Whether or not you are a reader of MckMama (or mommy blogs in general), this post has good information on bankruptcy fraud. Last week we looked at the bankruptcy filing of Jennifer Howe Sauls McKinney and Israel McKinney, and discussed the many red flags of fraud that have been detected. Jennifer / MckMama has made a very public spectacle of her life, her finances, and her many money-making scams on her blog My Charming Kids, and things may finally be catching up to her.
Today the bankruptcy trustee filed a motion objecting to exempt property, essentially asking the judge to order that certain assets are NOT exempt from the bankruptcy. What does this mean? Continue reading