[16-Jan-2020] DarksydePhil is filing for bankruptcy (general thread) - and has officially done so on January 31 2020, meaning a lot of his finances have become public

[Draza]

Not anywhere yet. I'd assume Washington although he probably could file in Connecticut instead.

Ok cause I do assume that bankruptcy laws would be different from each state. If in a scenario that he does files it in Connecticut, would it be any different if he did it in Washington?

 

[King of Not Playing Games]

Ok cause I do assume that bankruptcy laws would be different from each state. If in a scenario that he does files it in Connecticut, would it be any different if he did it in Washington?

Yes. It looks like most people are assuming he is filing in WA, because that gives him the chance to take the 125,000 dollar homestead exemption. He can also choose to use federal rules if filing in WA, but I think there's no obvious reason why he would.

Watching a video from February 2017 where he says he took out two business loans. Is that well-known? I don't seem to recall them being mentioned in the context of Dave finally paying up.

 

[tzgnilki]

Could he skirt by a payment plan if he receives games as a gift and wouldn't have to pay taxes on?

he'll be begging for gift cards more than ever if he gets on a payment plan, he won't be buying 10 games in 2 months like he did last year

 

[Haunter]

Watching a video from February 2017 where he says he took out two business loans. Is that well-known? I don't seem to recall them being mentioned in the context of Dave finally paying up.

Yeah, he persisted in calling them "Business Loans" for a long time. Around late 2018 (I think) he suddenly switched to calling them "Unsecured Loans", then in January 2019 again switched and called them "Personal Loans".

 

[AnOminous]

Ok cause I do assume that bankruptcy laws would be different from each state. If in a scenario that he does files it in Connecticut, would it be any different if he did it in Washington?

Bankruptcy is federal and is heard in specialized federal courts. But it respects the bankruptcy exemptions in state law, and those do vary state to state. There are also federal exemptions. When you file, you get to choose between taking the federal or state exemptions.

 

[tzgnilki]

Yeah, he persisted in calling them "Business Loans" for a long time. Around late 2018 (I think) he suddenly switched to calling them "Unsecured Loans", then in January 2019 again switched and called them "Personal Loans".

I remember it being a paypal business loan

 

[Kosher Dill]

It has been very common during the last six years for taxpayers doing internet business not to notice these 1099 forms, especially since they tend not to be mailed or even emailed to the taxpayer. Taxpayers doing internet business often think "well they do not know how much money I am making" and substantially lowball their income on their tax returns. Or they just do not file a return at all.

Phil doesn't file his own taxes though, he uses a "tax attorney" (probably a plain old accountant) to calculate and file it all. I doubt they're going to sign their names to anything blatantly illegal.

 

[_XXIII_]

Maybe if the WWE/F had done a storyline involving the IRS, piggy would have known not to mess with them.

There was literally a wrestler in the 80s and early 90s called IRS who's sole gimmick was telling people that they needed to pay their taxes and that everyone was a tax cheat.

Phil has no excuse because the sweaty men warned him years ago.

 

[harbinger]

Now that the ConnCondo is going into foreclosure, is it too late for Philip to use Chapter 13 to get a cramdown on that mortgage and walk away from this thing with a $40k asset the could turn around and sell?

Posted this in the foreclosure thread, but it may be more relevant here.

 

[Regginmcaids]

Guys, look on the bright side, the suit from his wedding probably still fits he can just use that for the court hearings.

 

[Ching_Chong]

Guys, look on the bright side, the suit from his wedding probably still fits he can just use that for the court hearings.

He'll probably force his parents to fly to Washington to show him how to knot a tie.

 

[King of Not Playing Games]

I'm pretty sure that all his discretionary purchases within the 90 days leading up to the bankruptcy filing may not be dischargeable, with the idea being that if you're thinking about filing you should not also be spending thousands of dollars on gatcha mobile games.

Just food for thought.

 

[Nigel of Ukip]

I'm pretty sure that all his discretionary purchases within the 90 days leading up to the bankruptcy filing may not be dischargeable, with the idea being that if you're thinking about filing you should not also be spending thousands of dollars on gatcha mobile games.

Just food for thought.

I guarantee you if that game account indeed is Phil, he will find a way to finesse the system.
There is zero chance the lawyer dude knows about this spending, and I give it a snowballs chance in hell it will show up in his bankruptcy papers.
He either does some shady shit with giftcards, or he will find a way to claim it's some utterly exceptional business expense.

Edit: All that IF that account even is him, and if people can stop being autistic about the account worth since it went from 10k$ to over 40k$.

 

[architect]

In my country you must show that you have exhausted all other options before a judge approves bankruptcy. If you (figuratively) said "fuck you" and ignored Midfirst bank like Phil has done, your case would get thrown out. Are there similar stipulations in America?

 

[tzgnilki]

I guarantee you if that game account indeed is Phil, he will find a way to finesse the system.
There is zero chance the lawyer dude knows about this spending, and I give it a snowballs chance in hell it will show up in his bankruptcy papers.
He either does some shady shit with giftcards, or he will find a way to claim it's some utterly exceptional business expense.

Edit: All that IF that account even is him, and if people can stop being autistic about the account worth since it went from 10k$ to over 40k$.

the most conservative estimate is around $23,000, which is based on the cost to get from VIP rank 0-12, but it's near impossible to know the exact amount because the max VIP was level 8 at one stage, and he was probably spending during that period

we also don't know how far from level 13 he is, which is $18,000 from 12-13

 

[James Smith]

it went from 10k$ to over 40k$.

To be fair on this point, it was always estimated at $40K. People read the chart wrong. The person who made it even said it said it was not cumulative before anyone here found it.

In my country you must show that you have exhausted all other options before a judge approves bankruptcy. If you (figuratively) said "fuck you" and ignored Midfirst bank like Phil has done, your case would get thrown out. Are there similar stipulations in America?

You're supposed to stop paying once you've decided to file, then file promptly. Not wait for months hoping the creditor doesn't mind you screwing them out of six figures of money.

 

[King of Not Playing Games]

Okay, here's my prediction. He's not going to file. He's going to let it loom over his head, realize the consequences, and try and duck them by hoping it will all go away, or coming up with some excuse why the trustee or the lawyer or the judge is treating him like a child, and things are just going to get worse and worse.

 

[James Smith]

Okay, here's my prediction. He's not going to file. He's going to let it loom over his head, realize the consequences, and try and duck them by hoping it will all go away, or coming up with some excuse why the trustee or the lawyer or the judge is treating him like a child, and things are just going to get worse and worse.

The classes he's taking aren't free are they? Don't they cost some token amount and more or less require an attorney referral after paying your attorney some token $500 or something to begin hiring them?

 

[Muppetmode]

You're supposed to stop paying once you've decided to file, then file promptly. Not wait for months hoping the creditor doesn't mind you screwing them out of six figures of money.

Does this affect anything at all?

 

[Radical Goodspeed]

Does this affect anything at all?

It could or couldn't.

The optics probably don't look good to the people deciding his fate. While I figure there's some impartiality, I don't think the people suing him or the courts are going to take a sympathetic eye to the guy who's case seems to be trying to game the system at every turn in ways it isn't actually game-able.

Generally thought debt collectors will appreciate a certain level of mitigation on the person owing them money. Its one more benefit of the doubt Phil kinda pisses away, I guess.