John Paul H. Cournoyer, U.S. Bankruptcy Administrator v. David Wayne Schamens (In re: David Wayne Schamens) (Adv. No. 24-02010)

Order Denying Motion to Dismiss or Stay Adversary Proceeding. Plaintiff sought denial of Debtor’s discharge under 11 U.S.C. § 727(a)(2), (3), (4), and (6), alleging that Debtor failed to disclose assets, liabilities, and pending litigation in his schedules and statement of financial affairs, lied at his meeting of creditors, and presented or used a false claim to prevent the bankruptcy trustee from administering his residential real property. Debtor moved to dismiss the adversary proceeding or, in the alternative, to stay the proceeding pending the outcome of a criminal case against Debtor in a federal district court. The Court declined to dismiss the adversary proceeding, finding that Plaintiff presented plausible allegations to state a claim that Debtor’s discharge should be denied under § 727(a)(2), (3), (4), and (6). The Court also declined to stay the adversary proceeding pending the outcome of Debtor’s criminal case, which had to do only with Debtor’s prepetition conduct, because of the lack of any similarity in the issues raised in both proceedings.