Illinois couple admits bankruptcy fraud

Illinois couple admits hiding nearly $112,000 Vioxx settlement from bankruptcy trustee

Associated Press

BENTON, Ill. (AP) -- A southeastern Illinois couple face up to five years in prison now that they've admitted fraudulently hiding a nearly $112,000 legal settlement from a bankruptcy trustee.

Thomas Grogan and Debra Grogan of Lawrenceville pleaded guilty Friday to fraudulently concealing assets from a U.S. trustee during their 2009 bankruptcy case.

Prosecutors say the couple filed for bankruptcy, seeking relief from their more than $24,000 in debts to various creditors.

But the couple admits they repeatedly failed to disclose that Thomas Grogan expected to get about $112,000 in a settlement from a class-action lawsuit involving the painkiller Vioxx.

The Grogans also face up to a $250,000 fine when sentenced April 12.

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