News

November 19, 2009

Richards’ firing could impact bankruptcy filing

By Jerry Lynott jlynott@timesleader.com
Business Writer
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WILKES-BARRE – The firing Wednesday of Doug Richards from his $71,000-a-year Luzerne County job could affect a bankruptcy filing by him and his wife.

The couple voluntarily filed for Chapter 13 bankruptcy in April and have a hearing scheduled next month on their plan to pay back debtors.

Referred to as “a wage-earner’s plan,” Chapter 13 allows a person with a regular income to devise a plan to repay all or part of that person’s debt, according to the U.S. Courts Web site.

The plan the couple submitted for approval by the U.S Bankruptcy Court in the Middle District of Pennsylvania calls for them to pay $250 a month for 55 months. It also includes the proceeds of the sale of a rental property on Parrish Street. There was no estimate on the sale value of the house.

The payment plan was based on the couple’s dual incomes. Richards reported a monthly income of $6,752 from his county job. He had been in the position for more than four years. On Tuesday he submitted his resignation effective Dec. 4, but a day later was terminated for failing to answer questions about his involvement in a company that did work for the county.

His wife, Sandra, earned $4,113 a month and listed her employment as a human resources administrator at Luzerne County Community College and with the Pennsylvania Board of Law Examiners, according to the couple’s bankruptcy filing.

A message left with Richards was not returned.

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