Bankruptcy Fraud Prevention Act

The Bankruptcy Fraud Prevention Act is a law aimed at preventing dishonest practices during bankruptcy proceedings. It establishes stricter regulations to ensure individuals and businesses cannot manipulate the system to avoid paying debts unfairly. This includes prohibiting hiding assets, making false statements, or filing fraudulent claims. The Act reinforces legal consequences for such fraudulent actions to maintain the integrity of the bankruptcy process, ensuring that it serves its intended purpose of helping those in genuine financial trouble while protecting creditors' rights.