Summary

Portrait of Harry Blackmun Harry Blackmun Pennsylvania Department of Public Welfare v…

Congress' intent to invalidate the results of state criminal proceedings is far from clear. There is simply no suggestion that Congress intended to depart from pre-Code practice and encroach so deeply upon the States' administration of their criminal justice systems. In the absence of evidence of congressional intent to the contrary, the statutory construction rule set forth in Kelly and Midlantic requires a determination that the Bankruptcy Code does not permit convicted criminals to discharge their restitution obligations in Chapter 13 proceedings.
Source: Wikisource

Portrait of Harry Blackmun Harry Blackmun Pennsylvania Department of Public Welfare v…

Several Bankruptcy Courts have agreed with petitioners and have decided that the definition of "debt" in the Bankruptcy Code does not include a criminal restitution order. See, e.g., In re Norman, 95 B.R. 771, 773, and n. 3 (Colo.1989) (criminal penalties and fines are not "debt [s] " as defined under § 101 (11) of the Code; because crime victim has no "right to payment," restitution is not a "debt") ; In re Pellegrino, 42 B.R. 129, 132 (Conn.1984) (since "crime victim has no 'right to payment,' restitution is not a 'debt' under Bankruptcy Code § 101 (11) "
Source: Wikisource

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