Davis Hartman Wright LLP is pleased to share that partner John C. Bircher III was recently featured as a guest on Bad Boys of Bankruptcy, a podcast hosted by Judge Elizabeth L. Gunn and featured by the American Bar Association.

In the episode, John recounts his experience serving as the Chapter 7 trustee in the bankruptcy case of Gregory Sipe, a case that began with what appeared to be a relatively modest collection of guitars and ultimately uncovered nearly 400 collectible instruments.

The debtor initially disclosed “several” collectible guitars with a scheduled value of $10,000 after accounting for the amount required to redeem them from a pawn shop. John describes the investigative efforts that revealed the true extent and value of the collection, including a trip to the debtor’s home in Chesapeake, Virginia, where hundreds of guitars were discovered in a climate-controlled garage.

The collection included numerous autographed, rare, and custom guitars, including a signed Gibson Jimmy Page #7 and a custom Gibson Les Paul. John ultimately liquidated more than 360 guitars for the benefit of the bankruptcy estate, generating nearly $900,000 at auction and allowing for a 43% distribution to unsecured creditors.

During his conversation with Judge Gunn, John shares the story behind uncovering the collection, securing the assets, and administering an unusual Chapter 7 estate that eventually led to a bankruptcy fraud prosecution.

The episode offers an entertaining look at the investigative work that can arise in bankruptcy cases and the important role trustees play in identifying and preserving assets for the benefit of creditors.

Listen to John’s episode of Bad Boys of Bankruptcy on the American Bar Association’s website.