341 Meeting of Creditors

Richmond, Virginia.  Promptly following the filing of a Chapter 7 Bankruptcy Petition, Bankruptcy Code Section 341 requires that the interim trustee appointed to review the case holds a meeting of creditors. At this meeting, the debtor gives sworn testimony, punishable by the penalties for perjury, regarding their debts, assets, and the circumstances surrounding the filing of their case.

The interim trustee is a local bankruptcy attorney who is been appointed to review the debtor’s bankruptcy case. In the context of Chapter 7, the trustee will seek to liquidate any on nonexempt assets which the debtor may own. An example of a nonexempt asset is a motor vehicle owned free and clear that is not covered by one of the applicable Virginia exemptions under Virginia Code Section 34-4 or 34-26.

Prior to the 341 hearing, the trustee should have been provided with certain financial information for the debtor. This information normally includes:
1. Debtor’s last two filed tax returns;
2. Debtor’s wage statements for the last two months;
3. Debtor’s bank account statements for the last two months;
4. Title and lien information for any vehicles owned by the debtor; and
5. Title and lien information for any real property owned by the debtor

At the 341 hearing, the debtor needs to provide verification of their identity. This verification is usually provided by showing government issued photo identification and a Social Security card. Also, in the Eastern District of Virginia the debtor also needs to fill out and execute an interrogatory form.

If the trustee requires the debtor to provide additional information, the 341 hearing can be adjourned to a later date in order to give the debtor time to provide the requested information. Failure to comply with requests of the trustee can result in a dismissal of the case or an objection to the debtor receiving a discharge.