Maryland homeowners living in areas affected by Hurricane Sandy will be getting foreclosure protection from the U.S. Department of Housing and Urban Development. Homes with Federal Housing Administration-insured mortgages will receive a 90-day delay on their foreclosure proceedings, the Baltimore Sun reports.

Other foreclosure relief and assistance for homeowners in Maryland are part of President Obama’s disaster declaration. The department will be offering Federal Housing Administration mortgage insurance to homeowners affected by the storm who are faced with rebuilding or searching for a new house. The insurance is aimed at protecting qualified disaster victims from defaulting on mortgage payments.

The FHA will also be providing loan insurance for those who will rebuild their homes. To qualify, the cost of repairs must exceed $5,000. The HUD is offering loans to state and local governments to repair public infrastructure, housing rehabilitation, and economic development. Maryland will also be able to redirect certain federal resources to disaster relief if necessary.

If your home is facing foreclosure, it is important to contact an experienced bankruptcy attorney who can help you explain your legal rights and options. Together, you can work to decide which option is best for you and your unique situation.

On Friday, Hostess Brands sought the approval of a bankruptcy court to shut down its operations entirely. The company’s decision to close its bakeries and distribution centers came after a national strike of Hostess bakers. The company announced that if the bakers did not return to work on Friday, that it would have no other choice but to close down the company for good. 

As a result of the closing, approximately 18,500 Hostess employees will lose their jobs. The company will close 33 bakeries across the country, and an additional 565 distribution centers. Hostess outlet stores are also affected by the closing, and 570 of these stores will shut their doors. Hostess has plans to sell all of its assets to the company that places the highest bid.

Hostess believes that several companies will be interested in some of their iconic brands, including Twinkies, Wonder Bread, and Drake’s Devil Dogs. These brands have the potential to be produced at a new company with a different product line. The bankruptcy filing was made in January, and that was the second time that Hostess filed for bankruptcy protection since 2004.

If your company is facing financial hardships, and you are considering bankruptcy, you need an experienced bankruptcy attorney on your side to help you through this complex process. Please contact the bankruptcy lawyers of Hong Law, PLC by calling 319-623-1400 today.

Arkansas’ head football coach John L. Smith, who filed for Chapter 7 bankruptcy in September, could be facing more legal problems after a creditor has called Smith’s finances into question. The coach listed $40 million in debt when he filed for bankruptcy protection, with approximately $600,000 owed to the suspicious creditor, RL BB Acquisition.

Under federal law, all money made after an individual files for bankruptcy is kept by the individual, while all money made before the filing is divided among creditors. According to USA Today, Smith arranged to have most of his $850,000 salary backloaded until after the football season was over, which would allow him to keep this money since he would have technically earned it after filing.

RL BB Acquisitions has asked the bankruptcy court for an extension on the case so it can challenge Smith’s financial exemptions. With the exemptions, the coach able to report that he made only $19,800 a month in gross monthly income instead of more than $70,000. Smith’s financial problems stem from real estate deals that backfired when the market crashed.

If you are struggling with your personal finances and are considering filing for bankruptcy, an experienced bankruptcy attorney can inform you of your legal options. To learn if Chapter 7 bankruptcy is right for you, contact the legal team at Hong Law, PLC at 319-632-1400.

AMF Bowling Worldwide Inc. has sought Chapter 11 bankruptcy protection for the second time since 2001. AMF owns and operates 262 bowling centers in the United States, and employs approximately 7,000 people. With a large amount of debt, the operator of bowling alleys has filed for Chapter 11 bankruptcy protection.

In 2001, AMF filed for bankruptcy after declining revenue led to growing debt. One year after filing, the bowling alley company was restructured, and a different owner was appointed. The company claims that between 2005 and 2008, there was improvement in the financial areas of the business. Due to the large amount of debt that has been acquired in recent years, and the decline in interest in the sport of bowling, AMF decided to file for bankruptcy for a second time on Tuesday with the U.S. Bankruptcy Court in Richmond, Virginia.

According to the paperwork that was filed, the assets and liabilities for the company fell in the range of $100 million and $500 million. The company will continue with normal operations while undergoing the restructuring process of Chapter 11 bankruptcy. The lenders attached to the bowling company are owed approximately $216 million.

If your company is facing large debt, Chapter 11 bankruptcy may be the right decision for your company. Please contact the Chapter 11 bankruptcy lawyers of Hong Law, PLC by calling 319-632-1400 to discuss your specific case today.

Last month, St.Louis-based Bakers Footwear Group filed for Chapter 11 bankruptcy after defaulting on a loan. Back in 1999, Bakers downsized from approximately 600 stores across the nation to roughly 200 stores. Now the company is downsizing even further, and has started the liquidation process of 150 stores nationwide.

The liquidation process began on November 9, and involves 150 stores which represent 70 percent of all Bakers stores currently in the United States. These selected stores will discount their current merchandise, and offer more than 50 percent savings on clearance merchandise as well. Equipment and furniture from these stores will also be liquidated. The stores will continue to liquidate assets through the end of the 2012 fiscal year.

Before the liquidation started, Bakers had 213 stores in 34 different states. The company has hopes of maintaining operations in 63 stores after the liquidation process is complete. Bakers has plans to refinance the company, and use the money from the liquidation sales to pay off current creditors.

The CEO of Bakers claims that the 63 stores that will remain in normal operations are in the company’s best regions. These stores will slowly begin to tailor their products to the specific target markets of the region when moving forward with the future of the company. The CEO also stated that online sales will become more integral to the company’s future, with sales expected to reach 25 percent of the company’s total profits.

The Japanese automobile company, Suzuki, has just announced that it will be shutting down its U.S. division, and filing for Chapter 11 bankruptcy in America. The U.S. division of the company is headquartered in California, and that is where the bankruptcy papers were filed.

Suzuki motor vehicles will still be sold in other parts of the world, but will no longer be available in American markets. The company will instead focus its efforts on marketing all-terrain vehicles, motorcycles, and boats in the United States. According to the paperwork that was filed, Suzuki listed $346 million in liabilities, and $233 million in assets.

The company failed to appeal to the target market in the United States, and as of October 31 had only sold 21,188 vehicles in America. Suzuki has mentioned that warranties on current American models will be upheld during the bankruptcy proceedings. The company has revealed that it has between 1,000 and 5,000 creditors.

The automobile company revealed that it will continue operations during the restructuring process of Chapter 11 bankruptcy. Certain dealerships in the United States will turn into parts-and-services operations, and some will shut down altogether as a result of this filing.

If you have questions or concerns regarding the Chapter 11 bankruptcy process. Please contact the Chapter 11 bankruptcy lawyers of Hong Law, PLC  by calling 319-632-1400 today.

Iowa cleaning supply manufacturer Harper Brush Works Inc. has had a proposal to auction off its assets approved by a U.S. Bankruptcy Court for the Southern District of Iowa judge amid accusations that an auction will not raise more funds than an asset liquidation.

The family-owned maker of brooms, floor brushes, and other cleaning tools filed for Chapter 11 bankruptcy in May, listing its assets at $10.4 million with $10 million in liabilities.

The auction is set to open with a bid of $2.2 million for all of the Harper’s current assets. Opposing bids will be due on November 14, with the auction set to take place on the 19th.

Making the decision to auction off your business’ assets in bankruptcy is not easy. If you’re facing overwhelming business debts and are looking for relief, consulting with a business bankruptcy attorney can help you make the right decision for your circumstances.

Bakers Footwear, a national mall-based women’s footwear chain, filed for Chapter 11 bankruptcy today.

The company plans to reduce costs after a year of slumping sales by shutting down up to 25 of its 218 stores. The company is nearly $60 million in debt while listing assets of close to $42 million.

Bakers plans to reduce its operating costs by $7 million and raise $8 million through selling assets. In the meantime, it will focus on its own brand.

Filing for Chapter 11 bankruptcy can allow a business to reorganize its debt while maintaining operations. If you feel like your business is digging itself into a financial hole, contact the Chapter 11 bankruptcy attorneys of Hong Law, PLC, at 319-632-1400.

Last week, The Washington Post reported on an Iowa woman who is filing bankruptcy while being charged with 12 counts of mail fraud after borrowing more than $730,000 from friends and colleagues.

For years, Beverly De Ronde, 60, sent her friends letters asking for loans that she promised to repay later. Under the belief that the money was going to be used for a big anniversary gift for De Ronde’s husband, her friends would loan her the funds.

However, De Ronde instead spent the money on antiques, jewelery, and previous debts. Eventually, she mailed all of her lenders letters saying that she had been spending more than she could and that they should cease all contact with her. De Ronde is filing for bankruptcy protection, and her many debtors are concerned they will not be paid back.

If De Ronde had not decided to fool her friends, commit federal crimes, and continue spending beyond her means, she could have filed for bankruptcy much sooner and avoided the current problems she is facing. If you’re struggling under crushing debts, don’t turn to a life of crime and deceit. Instead, turn to the personal bankruptcy attorneys of Hong Law, PLC. Contact us at 319-632-1400 to learn more about how we can help.

Former Major League Baseball player Jose Canseco has filed for Chapter 7 Bankruptcy.

Filing in Las Vegas Tuesday, the 1988 American League MVP listed less then $21,000 in assets with over $1.5 million in liabilities.

Jose Canseco won the World Series twice and hit 462 home runs over the course of his 16-year professional baseball career. He later wrote a tell-all book, titled Juiced: Wild Times, Rampant ‘Roids, Smash Hits & How Baseball Got Big.

Financial hard times can fall on anyone. If you are facing overwhelming financial difficulties, you may be eligible for Chapter 7 bankruptcy. Contact the Cedar Rapids Chapter 7 bankruptcy attorneys of Hong Law, PLC, at 319-632-1400 to learn more.