Washington – In response to the pandemic, the Department of Justice’s U.S. Trustee Program has taken steps to protect the health of the public and those involved in bankruptcy proceedings while ensuring that the bankruptcy system remains functional during the current public health emergency.

“Our first priority is the safety and health of the general public and all individuals involved in the bankruptcy process,” said USTP Director Cliff White.  “In partnership with the courts, private trustees, and other stakeholders, the U.S. Trustee Program has taken steps to protect safety while keeping the bankruptcy system functioning for businesses and consumers who need financial relief.”

Actions taken include:

• Halting about 60,000 already scheduled in-person administrative proceedings (known as section 341 meetings) that would have been attended by large numbers of debtors, creditors, and professionals;

• Mandating that future section 341 meetings be conducted by telephonic or other alternative means not requiring in-person attendance, while using best practices to preserve the evidentiary value of the debtor’s sworn testimony;

• Suspending the audit of bankruptcy cases to limit the need for in-person contact by those involved in the audits; and

• Ensuring that debtors going through the bankruptcy process can keep the “recovery rebates” provided for in the Coronavirus Aid, Relief, and Economic Security Act.

– U.S. Department of Justice