Bankruptcy Chief Judge Mary Gorman (C.D. Ill.) has denied the bankruptcy petitions of Jeff Parsons and THR after trustees in the cases accused Parsons of attempting to hide millions in cash and assets, the Springfield (Ill.) Journal-Register reported on Friday. In effect, according to bankruptcy experts, Parsons and THR would remain liable for hundreds of millions of dollars’ worth of debt listed in the original bankruptcy petitions filed in September 2012. Denial of a bankruptcy petition is unusual, said John Penn, a Dallas attorney who serves as an expert for the American Bankruptcy Institute. “Imagine going in for surgery to fix an ailment,” Penn says. “You have the surgery and are recovering, but you still have the same ailment. That’s what this judgment is.” The Nov. 14 ruling can be appealed, though an appeal had not been filed as of last week, according to court records.
