When I worked for peach state they did ROUTINE inventory checks. Could never happen like that there.
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I'm pretty sure they stole the stuff, so wouldn't that be 100% profit if they sold anything?
Also, I'm sure they'll file bankruptcy or something. They won't probably have to go through their entire lives paying back the million bucks but I could be wrong.
When I worked for peach state they did ROUTINE inventory checks. Could never happen like that there.
Lawsuit judgements, court costs and fines cannot be discharged via bankruptcy. These guys WILL be paying back these funds for the rest of their lives.
You so sure about that? Don't get me wrong, I hope they do and I hope they suffer but the company will write that off and these guys will do time but doubt they'll be paying back $1.3mm in money.
The way that I read it is inventory checks wouldn't have caught it. The boxes were still rung up as sold, just were never paid for. This was an accounting issue.
The good thing is that the losses quoted were based on Hi Beckett Book Value, so they've really only out about 33% of that.
I would think they are going to have to pay it back in some fashion in time served or money. Them stealing sports cards, costing several people jobs and taking for no reason other than greed they are going to have no chance in a jury trail and I can't see a judge going easy on that type of dollar amount .
I'm not a lawyer but I'm guessing the 20-something year old who stole $800,000 worth of merch isn't going to have to pay that back. Who would he pay cash too? The company will write it off. The kid will do time. They'll sue him and he will probably settle or file bankruptcy or something. I mean the kid will never get a real job again... You know how long it'll take him to pay back nearly $1mm in cash?! Lol just crazy. Hope to the kids learned a lesson behind bars.
Criminal Restitution is Non-Dischargeable
Criminal restitution payments are considered non-dischargeable in a Chapter 7 bankruptcy. The "automatic stay" does protect the debtor from being arrested for failing to make the criminal restitution payments. At the end of the case, however, the debtor once again has to make the criminal restitution payments. Furthermore, any criminal restitution payments are considered "preferential payments." This means that the trustee can claim any payments made within the 90 days preceding the filing of the bankruptcy case. The trustee will use these funds to pay back other creditors in a specific order. The criminal restitution debt will be restored to the amount prior to that payment.[
Paying Over Time under Chapter 13
Although a Chapter 7 bankruptcy case cannot be used to discharge criminal restitution payments, there is an alternative. You can file a Chapter 13 bankruptcy case. As with Chapter 7, the criminal restitution remains non-dischargeable. But the repayment plan of Chapter 13 makes it so that you can actually afford to repay your debts. During your bankruptcy, the government cannot seize your assets if you fail to make payments. Most debtors filing under Chapter 13 end up paying less than 100% of what they owe. This does not apply to the criminal restitution, which must be paid in full. At the end of your bankruptcy, you will be responsible for any amount of the criminal restitution payments that you have not paid.
You don't have too, read his post again... Seven figures walks out the door? You should have caught that earlier. At least I'd hope.
No wonder their prices were higher than everyone else's!
This is what happens when business owners take a hands-off approach to their businesses. Plain and simple, it's ludicrous that even a 5-figure amount of inventory should be missing without any red flags. 7 figures? Well...