Larson Statement on Bankruptcy Reform

LARSON STATEMENT ON BANKRUPTCY REFORM

WASHINGTON, D.C.- U.S. Congressman John B. Larson (CT-1) today issued this statement on Bankruptcy Reform in reference to 2005 Bankruptcy Reform legislation passed in the Senate S. 256 and being considered as H.R. 685, "The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005."

"Entering the 109th Congress I had hoped our colleagues in the Senate would have been able to build on previous negotiations and forge a bipartisan coalition on bankruptcy reform. However, as the Senate Majority worked to defeat Democratic amendment after Democratic amendment, it became clear that the Majority had no intention to entertain a bipartisan discussion on bankruptcy this year. Consequently, the form of Bankruptcy reform legislation present in S. 256 / H.R. 685 is not a balanced bill that deals with all of the different groups affected by bankruptcy fairly, as in creditors, debtors, corporations and individuals. The bill fails to clean-up loopholes that protect wealthy debtors while it is tough on average Americans that may be facing unforeseen tragedies such as costly medical expenses or a sudden military deployment."

"Many worthwhile amendments that would have fixed these problems were casually rejected and disregarded by the Senate Majority which demonstrates the emergence of a Republican legislative agenda that allows corporations to file for bankruptcy and walk away from their liabilities while placing the main burden of debt on average Americans with no hope of solvency.

http://www.house.gov/larson/pr_050414.htm