Bankruptcy Doesn’t Halt Government’s FCA Case; U.S. District Court for the Middle District of Tennessee, Nashville Division, No. 3:18-cv-01289, United States v. Michael Kestner, et al.

The district court granted the government’s motion for an order exempting its False Claims Act case from the automatic stay in bankruptcy, finding that the case would not give the government a pecuniary advantage over the defendant’s other creditors, even though a successful recovery would create a non-dischargeable debt.