It is puzzling that a bankrupt was able to deceive the Official Assignee (OA) into believing that he was spending $1,200 a month on his mother's medical expenses, even though she had died in 2006 ("Bankrupt jailed for filing false statements"; last Friday).
The fact that the OA did not detect the deception for four years is unacceptable.
Was there lax monitoring of expenditure claims in this case?
I have always thought the relevant authorities would insist on and authenticate proof of such expenses in the form of medical receipts.
Creditors are at a disadvantage when such cases are not managed properly by the OA.
Liew Eng Choon
This article was first published on July 16, 2014.
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