Illinois couple admits bankruptcy fraud
BENTON, Ill. (AP) — A southeastern Illinois couple face up to five years in prison now that they've admitted fraudulently hiding a nearly $112,000 legal settlement from a bankruptcy trustee.
Thomas Grogan and Debra Grogan of Lawrenceville pleaded guilty Friday to fraudulently concealing assets from a U.S. trustee during their 2009 bankruptcy case.
Prosecutors say the couple filed for bankruptcy, seeking relief from their more than $24,000 in debts to various creditors.
But the couple admits they repeatedly failed to disclose that Thomas Grogan expected to get about $112,000 in a settlement from a class-action lawsuit involving the painkiller Vioxx.
The Grogans also face up to a $250,000 fine when sentenced April 12.