EAST ST. LOUIS — A former Edwardsville resident has pleaded guilty to making false statements during his 2018 bankruptcy case in the U.S. Bankruptcy Court for the Southern District of Illinois.
Kevin Kahrig, 49, a former area building contractor, concealed assets from his creditors by transferring those assets to his girlfriend-turned-spouse, Catharine Kahrig, prior to filing bankruptcy, according to court documents.
All told, Kahrig concealed hundreds of thousands of dollars in assets from his creditors, according to United States Attorney Rachelle Aud Crowe. He could receive up to five years in prison and a $250,000 fine at his Feb. 2, 2023 sentencing hearing in East St. Louis.
“Individuals who hide assets and make false statements on bankruptcy pleadings not only defraud their creditors, but they use the federal courts as a part of their fraud,” said Crowe.
“That is an intolerable abuse of the bankruptcy system which demands transparency and forthrightness by those seeking to have their debts discharged or restructured,” she said. “Those who engage in such behavior will be held accountable by this office.”
The case is being prosecuted by Assistant United States Attorney Peter T. Reed.
As part of his Oct. 28 plea, Kevin Kahrig admitted