WHOW guys. Even in my most optimistic thinking, I did not expect this 341 meeting to go so poorly for Phil. This was unbelievably bad on so many levels. More on that later.
Could that line of questioning point to when he knew he was going to be insolvent?
Yes, and Phil screwed himself over here. Later on when the "Citibank guy" asked him about it, he said "middle of 2019" he doubly screwed himself. I think Nancy has a case that anything he spent on CC after April 2019 is going to be non-dischargeable.
Nancy clearly doesn't buy Phil's own assessment of his property. "
your testimony then that the business machines that we went through that you indicated were all business assets, such as your-your various Playstation machines, if you were to liquidate those the value would be $1,500 ". In other words, "do you really expect me to believe that?". And Phil didn't help himself when he kept saying things were "old" because it just reinforces the fact that he knows they are worth more than $1,500. And he really didn't help himself when he said he uses it all exclusively for business, and has no personal property whatsoever. Like, could you be any more full of shit, Phil?
And for the business expenses. Nancy received some kind of worksheet from Phil with "various columns" that she couldn't make heads or tails of. Phil has the burden of proof to show his business expenses really are for the business. If she doesn't understand the accounting of it all, she isn't going to just take his word for it. She's going to look for real, specific, costs of things. And since Phil doesn't even have a separate business bank account, Nancy can just assume everything that isn't obviously a business expense (like Business Class internet) is personal. Microtransactions aren't going to fly, Phil, especially if they are purchased using a personal checking account/debit card.
Oh, and notice how he preemptively threw his tax attorney under the bus here... just in case things go south, his tax attorney said it was okay to write off those things as business expenses.
This whole meeting was an absolute goldmine of Phil's flailing bullshit. "Around" this much, "about" that time. No specificity. This is Phil's M.O. He doesn't give details because its "none of your business", but in reality, its because he's lying. If Phil wanted any chance to get this bankruptcy through, he should have been very clear and concise with Nancy and known all the answers to the questions. He did the exact opposite. Sorry Phil, but confusing the hell out of your Trustee isn't going to make your case any better. She's not a wheelchair, like most of your fans.
