Members of the Bar –

When my office discovers a case in which the Debtor(s) has retained outside counsel to pursue an outside legal action, we shall be filing a Motion to Compel with the Court, requesting Debtor to obtain Court approval for their retention.  This will occur as soon as the Trustee becomes aware of the existence of such a suit, including prior to the 341 Meeting being conducted.  If the name of the attorney representing the Debtor(s) is not included in the disclosure of the suit, the Motion to Compel will request this information, so please be advised that it is better to disclose this information if it is known.

The purpose of these Motions is to ensure that not only does civil counsel have authority to pursue the action on behalf of the estate, but more importantly, they must obtain Court approval prior to the settlement/disbursement of any such proceeds. 

This procedure is effective immediately.

Your understanding and cooperation is appreciated.

RS

Dear BASIL Seminar Attendees,

BASIL has been recently notified that the seminar was formally approved for the 1.0 hour of Professionalism/Ethics Credit and 1.0 hour of Diversity and Inclusion Credit by the Illinois Supreme Court Commission on Professionalism.  These credits will be noted on the certificates of attendance for those who made it to our 2018 annual seminar.

BASIL

It is with deepest regret and sorrow that we announce the passing of Judge Kenneth J. Meyers early the past Saturday morning. As most of you are aware, Judge Meyers had been battling cancer for some time. We are informed that he passed quietly at home.

Funeral arrangements:  A Visitation will be held Monday, April 16, 2018 from 5:00 P.M. to 8:00 P.M. at Saint Mary Immaculate Conception Catholic Church in Mount Vernon, Illinois. A Funeral Mass will be held Tuesday, April 17, 2018 at 10:00 A.M. at Saint Mary Immaculate Conception Catholic Church in Mount Vernon, Illinois with Father John Iffert officiating. Entombment will be held on Wednesday, April 18, 2018 at 10:30 A.M. at Keller Cemetery in Lovington, Illinois. Memorials may be made in Kenneth’s honor to the National Down Synrome Society or Saint Mary Catholic School.

National Down Syndrome Society contact information:
Email Address: donations@ndss.org

Additional information may be found here: https://www.hugheyfh.com/notices/JudgeKenneth-Meyers

BASIL is saddened at the passing of Judge Kenneth J. Meyers, U.S. Bankruptcy Judge (Ret.) for the Southern District of Illinois, on April 14, 2018. Judge Meyers had an illustrious career both as a litigator and on the bench, and was a great friend to BASIL even after his retirement.  His presence will be missed in the bankruptcy community and as a loved member of the BASIL family.

On behalf of the board of The Bankruptcy Association of Southern Illinois, we offer our sincere condolences to the judge’s family and loved ones during this time of sorrow and grief.

BASIL

The following was printed in the Belleville News Democrat:

Former federal bankruptcy judge for Southern Illinois, Kenneth Meyers, dies

April 14, 2018 04:49 PM

Updated April 14, 2018 04:49 PM

Former federal bankruptcy judge Kenneth Meyers, who served the Southern Illinois district, died Saturday.

Meyers retired in 2015 after serving 40 years as a federal judge. He served as the chief bankruptcy judge for the Southern District of Illinois from 1986 to 2010. He held court in East St. Louis, Alton, Mount Vernon and Effingham.

Laura K. Grandy, the current chief judge of the bankruptcy court, said she remembers Meyers as a good friend and mentor.

“When we first met, Judge Meyers told me, 'Kid, always be prepared and always be on time, and we’ll always get along.'" Grandy said. "At the courthouse, his sense of humor and insight created a court family that was ready to take on complex judicial projects. He was respected by both those he ruled for and those he ruled against. To those who knew him well, he was fair, fun and unforgettable. The halls of justice have lost one of their most creative and dedicated jurists.”

In 1985, Meyers presided over a case involving the lockdown of a federal penitentiary following the murder of two prison guards. His ruling in that case set the first guidelines for implementing prison lockdowns.

In 2002, under Meyers' direction, the bankruptcy court in the Southern District of Illinois became one of the first courts to successfully convert from a paper filing system to an electronic one.

Meyers graduated from law school in 1969.

Dear BASIL Members,

You may be interested to know that the Illinois General Assembly has pending legislation to raise personal exemptions; if passed it could have a big effect on bankruptcy practice.

HB 5480 - Amends the Code of Civil Procedure. The summary is 

$10,000 exemption for vehicle equity (Instead of $2,400); 

$7,500 (instead of $1,500) in value, in any implements, professional books, or tools of the trade; 

$50,000 (instead of $4,000) in value, in any other property is exempt from judgment, attachment, or distress for rent; 

$4,000 in each checking or savings account held by the debtor

HB 5486 - Amends the Code of Civil Procedure.  The summary is

$150,000 exemption for homestead (instead of $15,000).

See also SB 1246.

Dear BASIL Members,

There has been a boil order issued for the Belleville/Swansea area.  However, the restaurant has been contacted and has represented that they are operational and in compliance with the boil order (due to severe cold).  We still plan on having the meeting this evening.  See you at 5 p.m.!

BASIL Officers

CH13's Filed on or After 1/1/2018 or Converted to CH 13 on or After 1/1/2018

Thursday, November 16, 2017

In all chapter 13 cases filed on or after January 1, 2018 (and in any case that converts to chapter 13 on or after January 1, 2018), the following additional language will be added to the confirmation order:

“Interests in property acquired or received after the commencement of the case:  Should the debtor(s) acquire or receive any interest in property of more than nominal value, even if such value is unknown/undetermined/unliquidated (for example, lawsuit settlement, class action settlement, worker’s compensation claim, inheritance, life insurance proceeds, etc.), debtor(s) shall immediately file the appropriate amended schedule(s) to disclose the acquisition or receipt of the same.  Absent further Order of this Court, such property, whether or not disclosed on amended schedules or otherwise, shall constitute disposable income, the value of which must be paid into the debtor(s)’ plan as a payment under the plan for the benefit of allowed general unsecured claims.”

Please be aware that a recent Order entered by the US Bankruptcy Court of SDIL on November 16, 2017 by Laura K. Grandy will require an affidavit concerning property acquired or received in Chapter 13 cases. "In any pending chapter 13 case that was filed before January 1, 2018 (or that converted to chapter 13 before January 1, 2018), the debtor(s) shall submit to the trustee an "Affidavit Concerning Property Acquired or Received Before or After the Commencement of the Case."  This affidavit shall be submitted no earlier than 4 months prior to the completion of the chapter 13 plan.  The form affidavit can be found on the Court's website at www.ilsb.uscourts.gov. ; This Order shall become effective January 1, 2018." Please log in to the court's website and download the Affidavit form if you have a chapter 13 practice in the SDIL. Thank you. BASIL

Noticing of Amended Plans
Effective December 1, 2017, the U.S. Bankruptcy Court for the Central District of Illinois will delegate noticing of all amended plans, filed in Chapter 13 and Chapter 12 cases, to debtor's counsel or debtor.  

Certificate of Service for Amended Plans
Upon the filing of an amended plan, debtor's counsel or debtor is required to notice the amended plan in accordance with the Federal Rules of Bankruptcy Procedure and file a certificate of service.  The certificate of service must be captioned properly, include the date of service, the name, the address of each party served, the method of service, and state the name of the document being served. 

The Clerk’s Office will continue to send notices of the objection deadline and confirmation hearing on amended plans to the creditors listed on the mailing matrix through the Bankruptcy Noticing Center.

Note:  Unless a party has specifically opted to receive electronic notice/service in lieu of manual notice/service, all noticing/service must be made in accordance with Federal Rule of Bankruptcy Procedure 2002.  To determine whether a party is currently on the list to receive notice/service by email in a case, electronic filers can go to the “Utilities” bar in CM/ECF, then to “Mailings...” under the “Miscellaneous” heading, and then to “Mailing Info for a Case.”  If a party is not listed on the “Electronic Mail Notice List,” then manual notice/service is required.

Click here for a sample Certificate of Service. 

From Russell Simon:

Member of the Bar –

It is with great sadness that I inform you that after 9 ½ years, Tiffany Cornejo is leaving my office.  While her loss will be difficult, I am very pleased and proud to announce that her reason for leaving is to become a Chapter 13 Standing Trustee!!!!!!!!!!!!!!!

Tiffany has worked tirelessly toward this goal and is well deserving of the position.  She will begin consulting in her new office in Albuquerque, NM on 11/1/17and assume her duties as Chapter 13 Trustee on 12/1/17.

Please join my staff and me in wishing Tiffany the best on her new endeavor. 

On a business note, Tiffany’s last working day here will be 10/20/17.  While not yet finalized, rest assured that Thom and I are working on revisions to the pre-trial schedule and will let everyone know what the changes are to the pre-trial schedule.  In the interim, if you were scheduled to pre-try with Tiffany, you will need to contact me.  My extension is 132.

Thanks.

RS 

Tim Ruppel of the United States Trustee's Office has advised of the following:

Construction will begin on the 341 Meeting Room at 650 MIssouri Avenue on Thursday, September 14, 2017.  This should last approximately three-four weeks and will require the temporary relocation of the 341 meetings.  Begining on Friday, September 15, 2017, all meetings will be conducted at the United States Courthouse, 750 Missouri Avenue at various locations, subject to availability.  The current schedule is as follows:

Friday 9.15 - Trustee Donald Samson - Visiting Judge Courtroom #7, 3rd Floor.

Tuesday 9/19 - Trustee Russell Simon - Bankruptcy Court Training Room, 3rd Floor.

Friday 9/22 - Trustee Robert Eggmann - Jury Assembly Room, 1st Floor.

Tuesday 9/26 - Trustee Russell Simon - Visiting Judge Courtroom #7, 3rd Floor.

Friday 9/29 - Trustee Donald Samson - Visiting Judge Courtroom #7, 3rd Floor.

Tuesday 10/3 - Trustee Russell Simon - Visiting Judge Courtroom #7, 3rd Floor.

Friday 10/6 - Trustee Robert Eggmann - Jury Assembely Room, 1st Floor.

*Schedule subject to change without notice.

In an effort to remain flexible, all Original 341 Meeting Notices will go out with the 650 Missouri address.  When the meetings get closer, at approximately 2 weeks prior to the meeting, the Bankruptcy Court Clerk's Office will send out a SUPPLEMENTAL NOTICE of the actual meeting location at 750 MIssouri to all parties.  Thank you Donna and staff!  If you forget this Notice will be posted on the 341 Meeting Room Door.

PLEASE ADVISE YOUR CLIENT APPROPRIATELY IN ADVANCE

Thank you for your patience and understanding.

Thank you.

Tim Ruppel

Assistant United States Trustee