[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

[Dumpster dived waifu]

At this point my guess is he's going to pull something at the trial, you know the whole "I didn't put it on the form to protect my stable" defense and then think it's okay to just verbally correct what's missing while there.

Judges love it when you waste their time. Nothing endears them to your side quite like shenanigans.

What could possibly go wrong?

 

[actually]

I would wholeheartedly agree his business is a success. His personal spending was and probably is just out of control. If someone else owned his business and he was just an employee the business would look very healthy because he couldn't take all of its money.

This is actually a good point. He makes $100k+ a year playing video games for 6-7 hours a day, 6 days a week. He can set his schedule whenever and however he wants, he can play (in theory) any game he wants at any time. If he wasn't an anti-social reject, he could have a number of side gigs and still spend time playing in tournaments and hanging with friends.

 

[Martys_not_smarty]

Judges love it when you waste their time. Nothing endears them to your side quite like shenanigans.

What could possibly go wrong?

But but but....the trolls and the moarahns and detractors on the interweb and only keep memaking 130k a year your honor, without them and that idiot Tevin I'd be making 310k a year and I would be here before you explaining why so many spots in my form are blank.

 

[instythot]

I think I had to listen to Phil say this about 5 times through different sources before it sank in because it's so flamboyantly dumb, and I think I tune Phil's voice out a bit.

8:06 "I gave 100% ackurate information to the bankruptcy attorney. They filled out the paperwork. They sat me down and asked me more questions, and I answered the questions, aaannd. . .the paperwork was finished and filed."
9:09 "I can tell you that in Accounting things are not 100%. .uhhh. .black & white."
9:16 "So 'Yes', my attorney is well aware that I have a cat. 'Yes' my attorney is well aware that I spend money on said cat every month, but maybe the attorney didn't necessarily fill out that section saying that I have a cat. .ummm. .I don't know! Okaaay? I literally don't know. .uhhh. .how it works on that document. Uhhh, I have nothing to do with it! I didn't file it, uhuh huh, I didn't fill it out! All I did was give information and the document got filed. Okay?"

Phil did not fill out any part of his bankruptcy filing whatsoever and he did not read over, or even look at, any of the filing before signing it! We know what Phil's bankruptcy filing says more than he does, because he knows zero of what's on it.
He waddled into the lawyers office, he pulled his folder of Serious Adult Papers out of his Pokémon backpack, his lawyer strapped him into a high-chair and gave him some Cheerios while she did his homework, then she asked him a couple of questions she thought he could answer like 'How much does your food cost?'

This is pretty much exactly the scenario I imagined for the inconsistencies and nonsense within the filing itself.

Phil's lawyer asking and rephrasing each question into pig Latin, getting whatever anecdote Phil thinks answers the question and occasionally getting reminded that he's not paying for more than an hour of this shit.

The form is the result of the poor laywer trying to parse the way Phil answers direct questions, throwing her hands up and saying "fine fuck it. I will put down the first thing that sounds like it answers each fucking question no matter what's already on the rest of the fucking form"

 

[Schrödinger's Kat]

I would wholeheartedly agree his business is a success. His personal spending was and probably is just out of control. If someone else owned his business and he was just an employee the business would look very healthy because he couldn't take all of its money.

Good point. Phil doesn't have this level of discipline. He could have invested so much into the business and probably hired people to do edited videos for him, paid YouTube for Content ID to take all those detractors videos down, and so on. Instead, the squandered everything he earned into ephemeral virtual objects with absolutely no value. And maybe sweepstakes and lotto tickets. Who knows.

From the documents, he clearly intermixed his personal and business banking/checking in the same account. Not illegal, but not smart if he ever gets audited, as it requires much more effort to prove each thing you purchased was for business purposes. And its likely he'll be audited especially given all the errors.

That reminds me. Its been mentioned his PayPal account isn't listed. That's a pretty egregious omission. A PayPal account works just like a bank account - you most certainly can keep funds in there as long as you like. He's likely paying for stuff right from that account, and could have had a significant amount of funds in there when he filed. This will raise suspicion.

 

[Pargon]

I think I had to listen to Phil say this about 5 times through different sources before it sank in because it's so flamboyantly dumb, and I think I tune Phil's voice out a bit.

8:06 "I gave 100% ackurate information to the bankruptcy attorney. They filled out the paperwork. They sat me down and asked me more questions, and I answered the questions, aaannd. . .the paperwork was finished and filed."
9:09 "I can tell you that in Accounting things are not 100%. .uhhh. .black & white."
9:16 "So 'Yes', my attorney is well aware that I have a cat. 'Yes' my attorney is well aware that I spend money on said cat every month, but maybe the attorney didn't necessarily fill out that section saying that I have a cat. .ummm. .I don't know! Okaaay? I literally don't know. .uhhh. .how it works on that document. Uhhh, I have nothing to do with it! I didn't file it, uhuh huh, I didn't fill it out! All I did was give information and the document got filed. Okay?"

Phil did not fill out any part of his bankruptcy filing whatsoever and he did not read over, or even look at, any of the filing before signing it! We know what Phil's bankruptcy filing says more than he does, because he knows zero of what's on it.
He waddled into the lawyers office, he pulled his folder of Serious Adult Papers out of his Pokémon backpack, his lawyer strapped him into a high-chair and gave him some Cheerios while she did his homework, then she asked him a couple of questions she thought he could answer like 'How much does your food cost?'

We are about to see the crescendo of ten years of refusing to take responsibility for anything, and all it is taking is precisely what so many of us would said it would require: being compelled by a judiciary.

There's always a bigger man that can tell you what to do, Phil. Always.

 

[King of Not Playing Games]

It seems like omitting the foreclosure might be the biggest mistake in terms of potential impact weighing his filing. I can’t imagine a worse way to approach this than by hoping to hide from the court that you’re underwater in a second mortgage altogether.

 

[The Penultimate Warrior]

At this point my guess is he's going to pull something at the trial, you know the whole "I didn't put it on the form to protect my stable" defense and then think it's okay to just verbally correct what's missing while there.

I like the theory that he deliberately put the wrong info, thinking he can just change it later and thus beat the trolls. See dood, those mahrans said I had 13 credit cards when the court knows I only have 10.

 

[instythot]

It seems like omitting the foreclosure might be the biggest mistake in terms of potential impact weighing his filing. I can’t imagine a worse way to approach this than by hoping to hide from the court that you’re underwater in a second mortgage altogether.

"Your honor, I filed it before the foreclosure was finished. How could I know what the outcome would be? It's not my fault, I did everything correct, I did nothing wrong"

 

[actually]

I don't think it matters at this point, but I've figured out a little bit about why Phil's income and expenses are so confusing. As has been noted, Phil's "business expenses" make no sense unless he's counting all of his household expenses (mortgage, utilities, and so on; possibly taxes too) in his "business expenses". So when he calculates his net monthly average income from July-Dec 2019, it looks like this:

Add in Kat's income, and we get:

Back in the main bankruptcy filing, the monthly income is calculated again, using the net income for Phil and Kat. Phil's is the same. Kat's has her payroll deductions removed:

But then, to calculate the monthly net income for the household, they subtract more "monthly expenses":

Resulting in a net loss (every month?):

In short, Phil is claiming that he and Kat have, on average, a GROSS INCOME of $10,976.85. He's also claiming that he has monthly household and business expenses of a whopping $10,356.83 with Kat's payroll deductions being $262.69. Leaving aside that Kat's monthly income changes from $1,742.32 to $1,349.92 (before deductions), I cannot conceive of any way that Phil has "business expenses" that don't include a bulk/all of the household expenses.

Sorry for rehashing some things, but I had to write it down to make sense of this jumbled fuckery. @Nigel of Ukip, this is relevant to something you asked me.

Edit: Just realized that he claims $0 for his "telephone, cell phone, internet, satellite, and cable services". He only lists $100 for entertainment and $160 for his cell phone. The only reasonable extrapolation here (to me) is that he's claiming all $300 of internet service on both lines is a "business expense". No fucking way that would fly.

 

[Martys_not_smarty]

So if we get a chance to see the transcript or hear the audio from the trial what are the chances Phil will at least once say something about either trolls, detractors, internet harassment, internet stalkers, harassing potential sponsors?

 

[instythot]

So if we get a chance to see the transcript or hear the audio from the trial what are the chances Phil will at least once say something about either trolls, detractors, internet harassment, internet stalkers, harassing potential sponsors?

Phil probably only needs to go to a creditor meeting. The bulk of the process is administrative. We'll likely only get a series of forms out of this

 

[Pizza Parker's Pizza Time]

So if we get a chance to see the transcript or hear the audio from the trial what are the chances Phil will at least once say something about either trolls, detractors, internet harassment, internet stalkers, harassing potential sponsors?

I'd say it's in the realm of possibility. The man's deluded enough that he thinks he can throw lies at this filing and see what sticks and not get fined/jailed for it. Telling a servant of the court and all his creditors that the fault of his unpaid debts lies with people on the internet isn't much of a stretch for him.

 

[Richard Harrow]

I was wondering where you got this number because it's not true. I think you probably got it from this:

"Generally, excluding cases that are dismissed or converted, individual debtors receive a discharge in more than 99 percent of chapter 7 cases."

I think you missed some important words there.

Chapter 7 - Bankruptcy Basics

Alternatives to Chapter 7

www.uscourts.gov

Chapter 7 - Bankruptcy Basics | United States Courts

archived 16 Sep 2015 00:09:43 UTC

archive.ph

I'm not sure what the exact statistics for dismissal/conversion are but they're way over 1%.



Probably at least one but he'll probably be challenged to produce actual backup documents this time because he obviously can't be trusted not to just make up obvious nonsense. Checking account statements, bank accounts, they'll probably find his PayPal he hid, because transfers back and forth will show up in those, etc.

Good looking out, sorry about the mix-up folks!

 

[Martys_not_smarty]

I'd say it's in the realm of possibility. The man's deluded enough that he thinks he can throw lies at this filing and see what sticks and not get fined/jailed for it. Telling a servant of the court and all his creditors that the fault of his unpaid debts lies with people on the internet isn't much of a stretch for him.

Where there's a will there's a way for Phil, he's as deluded than the owners of Amy's Baking Company if he can find the window of opportunity to spit the venom out to deflect from him he will.

 

[Richard Harrow]

Phil probably only needs to go to a creditor meeting. The bulk of the process is administrative. We'll likely only get a series of forms out of this

I'm suspecting that the climax of the Bankruptcy Saga is going to be dull. Unless... he finds himself being prosecuted for perjury of course. Then I'll grab the popcorn.

 

[myone]

I'm wondering what everyone's predictions for the future are... Personally I think there's like an 80% chance his bankruptcy is just going to be converted to a Chapter 13. He has lots of income and the creditors are going to want to tap into that. He's not going to keep the Patreon Palace and he'll be on a pretty strict payment plan that gives him little wiggle room. Then he will fail Chapter 13 at some point and may be eligible for Chapter 7, since his income has sunk low enough.

 

[instythot]

I'm suspecting that the climax of the Bankruptcy Saga is going to be dull. Unless... he finds himself being prosecuted for perjury of course. Then I'll grab the popcorn.

I doubt that'll happen. The most likely outcome is the creditors saying "none of this makes any fucking sense", the petition being amended or an outside chance of the judge getting annoyed and rejecting it outright

Maybe we're going to get some new detractors who are also cows out of this. Or perhaps some inactive cow detractors will be unable to resist the pork and come back to entertain us

 

[tomstone]

saw something funny on youtube:

Judge: How does the defendant, Mr Burnell, plead?
DSP Attorney: Your honor, if you want a response, you'll have to cheer or preferably tip him

 

[Iron Hamster]

I figured he would still be on the hook, but given that he's already on a payment plan, I was wondering how likely the Feds are to be willing to put him on yet another payment plan while he's also trying to discharge his absurd debt while making $100k+.

Well, his ability to get into a payment plan will depend on the balance he has with the IRS. If the total balance is under 25K, they won't have a problem. If it is over that, he is going to have to submit financial documents similar to what he is doing with the bankruptcy filing where he has to show what his monthly income and expense are and what he can afford.

My neighbor is on the payment plan for about 14k. He says they also put a lien on his house. Something to think about.