A Chapter 7 bankruptcy case does not involve the filing of a plan of repayment as in Chapter 13.
Instead, the bankruptcy trustee gathers and sells the debtor's nonexempt assets and uses the proceeds of such assets to pay holders of claims (creditors) in accordance with the provisions of the Bankruptcy Code.
In the filing's Summary of Assets, Noss listed $106.00.
However, the Summary of Liabilities exceeds $1.0 million.
Independent Bank, which acquired Traverse City State Bank in late 2018, is the biggest loser: $766,925.
A hangover of the Grand Traverse Academy's Steven Ingersoll regime, the massive debt reflects the deal Noss made in 2014 with Ingersoll (and Traverse City State Bank's Dan Stahl) to personally assume repayment of Ingersoll's delinquent $989,825 line of credit debt.
Although court records show a non-jury trial was scheduled to begin June 11, 2019, the Full Spectrum Management Chapter 7 bankruptcy filing on February 19, 2019 triggered an automatic stay.
An injunction that halts actions by creditors to collect debts from a debtor who has declared bankruptcy, a stay lasts as long as the bankruptcy case.
Surprised?
I'm not. In fact, I called it back in 2017.
More on this as it develops.