Memo to Motion to Deny Motion to Dismiss With Line Numbers

8/4/2019 Memo to Motion to Deny Motion to Dismiss With Line Numbers

1/12Summary of Pleading - 1

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UNITED STATES BANKRUPTCY COURT

NORTHERN DISTRICT OF CALIFORNIA

In re:) Case No. 11-46702 WJL

RONALD BROOKS MILLER and ) Chapter 11USOALII NIKOTEMO MILLER, )

) Date: August 3, 2011Debtors. ) Time: 9:30 a.m

) Room: 220

MEMORANDUM IN SUPPORT OF

ANSWER TO AMENDED MOTION BY UNITED STATES TRUSTEE TO CONVERTOR DISMISS CASE, AND

MOTION TO DENY MOTION TO DISMISS ANDMOTION FOR COURT TO TAKE JUDICIAL NOTICE OF ECONONIC COLLAPSE

Jurisdiction This is the only court with jurisdiction over the claims

of the debtors against the U.S. Government. The debtors has in each

of the four preceding cases been thwarted by motions for dismissal by

the U.S. Government: two motions from the U.S. Trustee, one from the

U.S. Attorney, and one by the IRS representative to the court.

By mentioning these cases the U.S. Trustee is inferring that the

debtors are at fault for the necessity to file repeated bankruptcy

petitions, and ignoring the truth that the U.S. Government, in

continuing to resist the debtors efforts to receive due process, are

in fact the cause of the repeated filings.

Memo in Support of Judicial Notice

The debtors move the court to take judicial notice that there has been an economic

collapse in the United States economy beginning with a collapse in home value in the

winter of 2007 and which has caused a corresponding loss in jobs in the national

economy.

Answer to Numbered Allegations

1 admit



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2 admit

3 missing entirely

4 missing entirely

5 admit

6 admit

7 admit

8 missing entirely

9 admit

10 admit

11 admit

12 admit

13 admit

FACTS SUPPORTING STATUTE 11 1112.(b)(2)

11 1112.(b) (2) The court may not convert a case under this chapter to a case under

chapter 7 or dismiss a case under this chapter if the court finds and specifically identifies

unusual circumstances establishing that converting or

dismissing the case is not in the best interests of

creditors and the estate, and

THE DEBTORS SUBMIT THE FOLLOWIN TO BE UNUSUAL

1. The U.S. Government has thwarted efforts of the debtor to due

process through four attempts to have his case heard. This is denial

of due process under the Constitution of the United States. This

denial has been implemented through the vagueness of law which the

Debtors are now addressing.

2. The Debtors have suffered financial losses of approximately 5

million dollars in stock gains as a proximate result of U.S.

Government actions and inactions which the debtors intend to seek

restitution or recompensation for damages in an adversary proceeding.

3. The U.S. Government has claimed income taxes not due which in the

present case are claimed to be over two million dollars for the period

2000 through 2005.



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4. For that selfsame period the debtors have had a net decrease in

their assets from a home with a mortgage of $130,000, one hundred and

thirty thousand dollars to the present assets of the same home with a

mortgage of $420,000 and a second mortgage of 60,000.

5. It is not possible to have a taxable income year by year from

2000 to 2005 when the taxpayers have a loss of 350,000 for the entire

period. This is not only counter intuitive but is fraudulent.

DISMISSAL OR CONVERSION

NOT IN THE BEST INTERESTS OF CREDITORS AND THE ESTATE.

1. Technology Credit Union, the holder of a second mortgage of

$60,000 and a non-secured loan of over $8,000 due to no fault of their

own will lose all this. Note that Technology Credit Union has donenothing wrong and the debtors wish to pay them.

2. The estate will lose everything, and the debtors will be homeless

and potentially destitute.

3. The debtors will have been denied the right to due process in

never having had their cause heard before a court.

REASONABLE LIKELIHOOD PLAN CONFIRMATION ( 11 1112 continues)the debtor or any other party in interest establishes that there is

a reasonable likelihood that a plan will be confirmed within the

timeframes established in sections 1121(e) and 1129(e) of this

title, or if such sections do not apply, within a reasonable period of

time; and

A. The debtors have begun legal training using

JurisdIctionary, Niel Garfield Foreclosure

Defense done significant on-line research and have

subscribed to Loislaw, an online legal research site

in order to achieve success in the bankruptcy and in

Adversary Proceedings,
http://www.law.cornell.edu/uscode/html/uscode11/usc_sec_11_00001121----000-.htmlhttp://www.law.cornell.edu/uscode/html/uscode11/usc_sec_11_00001121----000-.html#ehttp://www.law.cornell.edu/uscode/html/uscode11/usc_sec_11_00001129----000-.htmlhttp://www.law.cornell.edu/uscode/html/uscode11/usc_sec_11_00001129----000-.html#ehttp://www.law.cornell.edu/uscode/html/uscode11/usc_sec_11_00001121----000-.htmlhttp://www.law.cornell.edu/uscode/html/uscode11/usc_sec_11_00001121----000-.html#ehttp://www.law.cornell.edu/uscode/html/uscode11/usc_sec_11_00001129----000-.htmlhttp://www.law.cornell.edu/uscode/html/uscode11/usc_sec_11_00001129----000-.html#e



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B. the debtor is now actively engaged in preparing

documents for an adversary proceeding against the U.S.

Government Losses as a direct result of Department of

Interior inaction in the affairs of American Samoa,

and

C. the debtor is now actively engaged in preparing

documents for an adversary proceeding against

Carrington Mortgage Services and Wells Fargo Bank NA.

et. al For numerous fraudulent document filings

violating various laws and for damages to the debtors

and

D. The debtors are committed to preserving their home,

and have the time and willingness to pursue this case

until final victory is achieved even in the face of

the adversarial and prejudicial attitude of the U.S.

Trustee and, his disregard for the well being and the

right to due process of the debtors.

DIMINUTION OF ESTATE ACT OR OMISSION OF THE DEBTOR (11 1112

continues)

(B) the grounds for converting or dismissing the case Include an act

or omission of the debtor other than under paragraph (4)(A) (4) For

purposes of this subsection, the term cause includes (A)

substantial or continuing loss to or diminution of the estate and the

absence of a reasonable likelihood of rehabilitation;

A. The decrease in market value of the estate is not due to the act

or omission of the debtor and is instead a proximate of the present

mortgage market collapse.

B. The debtor has in fact improved the estate and continues to do

so.



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DETAILED ANSWERS TO AND REFUTAL OF U.S. Trustees Motion to Dismiss.

note 2 to item 10 Object undue prejudice quoting the word hopeless out of

context showing the debtors. The real description and last words of the judge was get a

lawyer.

Legal Argument on page 3

Debtors Object to he U.S. Trustees argument that This Case Should be Dismissed Because

the Debtors Have Shown Substantial and Continuing Loss to or Diminution to the Estate and

There is No Reasonable Likelihood of Rehabilitation for the reasons listed below:

Statute is Misquoted; should be The absence ofper 11 U.S.C. 1112(b)(4)(A).

The U.S. Trustee is incorrect on both elements of cause to motion to dismiss

1. Substantial and continuing loss to or diminution to the estate

A. Reduction in property valuation are the direct

result of the housing market collapse rather than the real

long term value of property.

B. The debtors have in fact increased the value of the

estate by preparing the acre lot for subdivision

into two home-sites.1. A lot line adjustment was accomplished

with the adjacent property to allow the

necessary 20 feet wide driveway to the planned

new lot at the rear of the property. Fremont

Engineers prepared the necessary drawings and

application for the lot line adjustment.

2. A curb and sidewalk and driveway entrance

for access to the real lot was added by the

city at the request of the debtors.

3. Hookups for water and sewage were added by

Alameda County Water District, and Union



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Sanitation District add hookups for the new lot

at the debtors request.

4. Eight feet of frontage(1000 sf) was ceded

by the city of Newark to the property at the

request of the debtors based on engineering by

Fremont Engineers.

5. Over 20,000 cubic yards of fill were

added, compacted and leveled to provide a 0.5

percent slope toward the street for drainage.

6. The debtors has prepared forms for a

concrete retaining wall at rear of the property

to satisfy Newark city engineering requirementsC. The debtors through their own hard work has

converted an unattached garage and a rear outbuilding

into studio apartments and rented them out so they are

now generating income for further improvements.

D. So, there has been no loss or diminution to the

estate as alleged by the U.S. Trustee, but just the

opposite is true. It may be noted that the debtors

plan will include the subdivision of the second lot

leveraging on the time and work of the debtors

themselves

2. absence of Reasonable Likelihood of Rehabilitation

The U.S. Trustee has stated opinions based on a total lack of

knowledge. How can he know what he has not investigated?

Only upon facts should such allegations be made.

So, the debtors submit the following facts:E. The debtors have begun legal training using

JurisdIctionary, Niel Garfield Foreclosure

Defense done significant on-line research and have

subscribed to Loislaw, an online legal research



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site in order to achieve success in the bankruptcy

and in Adversary Proceedings,

F. the debtor is now actively engaged in preparing

documents for an adversary proceeding against the

U.S. Government Losses as a direct result of

Department of Interior inaction in the affairs of

American Samoa, and

G. the debtor is now actively engaged in preparing

documents for an adversary proceeding against

Carrington Mortgage Services and Wells Fargo Bank

NA. et. al For numerous fraudulent document filings

violating various laws and for damages to thedebtors and

H. The debtors are committed to preserving their home,

and have the time and willingness to pursue this

case until final victory is achieved even in the

face of the adversarial and prejudicial attitude of

the U.S. Trustee and, his disregard for the well

being and the right to due process of the debtors.

The debtors object to the U.S. Trustee inflammatory and unduly prejudicial

allegations to this court against the debtors before even consulting the

debtors or awaiting the debtors plan.

The debtors find the statements and purported facts to be irrelevant to the

elements of the cause to dismiss or convert, to be hearsay, to be incompetent,

resulting an unduly prejudicial bias toward the court and evidencing adisregard for the right of due process to the debtors .

CASE HISTORY

The debtors submit that the loss of approximately five

million dollars, the life savings and a stock option



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windfall in 2000 and 2001, by fraudulent offers of the sale

of a hotel owned by the American Samoa Government with the

intention of extracting a bribe and then denying the sale

when no bribe was tendered right under the Flag of the

United States of America, while the responsible U.S.

Department of Interior would not even acknowledge

complaints, and while the U.S. Department of Justice

claimed that they had no jurisdiction, in flagrant

disregard for the Treaty by which the United States

Government became the Sovereign over the islands of

American Samoa in April 10, 1900.

Attempts to have this matter brought to trial for the

debtors losses have been thwarted by the U.S. Governments

various departments in the preceding bankruptcy cases, and

the U.S,. Government has taken adversarial actions against

the debtors through the IRS making unreasonable demands

that defy all logic in an apparent attempt to reduce the

debtors to homeless on the streets of America.

By their motion to dismiss The U.S. Government through

their agents including the U.S. Trustee, the U.S. Attorney

and the U.S, Treasury caused the dismissal of the debtors

previous bankruptcy petitions have shown themselves to be

adversaries of the debtors and should be censured by the

court.

The debtors object strenuously to the prejudicial mention

of unnecessary details to the motion throughout the motion

and the memorandum by which the U.S. Trustee is painting

the debtors in an unnecessary light with intent to show a

lack of good faith. The lack of good faith dealing lies



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with the U.S. Government for the destruction of the debtors

fortune through attempts at bribery, by bait and switch, by

misleading the debtors regarding income taxes, by claiming

by then seizing the little remaining cash, by placing a

lien that interfered with an advantageous business

relationship in developing their property, by purposely

thwarting all efforts by the debtor to obtain due process,

within a situation where the IRS knows that there is no

possibility of the debtor paying any of their claims.

Accordingly, the debtors submit that these dismissals are

the result of agents attempting to cover improper orillegal actions by U.S. employees that would surface in

discovery.

CASE 1

The debtors initiated this first case without the benefit

of legal help because the IRS had seized their bank account

and placed a lien preventing borrowing to finance legal

action. So, the debtors without any knowledge or legal

help were dismissed at the motion of the U.S. Trustee.

CASE 2

The debtors were advised that they must be pro-active and

that the court system did not work automatically to

disseminate justice. So, the debtors filed an adversary

action against the U.S. Government within the next

Bankruptcy. However, lack of knowledge hampered the

debtors, and when faced with the U.S. Attorneys, the

adversary proceeding was dismissed on Motion by the U.S.

Attorneys.



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CASE 3

The debtors object to allegation 9 for the reason that the

last case was dismissed based on the testimony of the IRS

Representative to the court that the debtor should and could

be better receive justice in the US Tax Court and that tax

year 2000 could be considered along with 2001. However,

after dismissal and opening a case at the tax court, the IRS

immediately moved the tax court to deny consideration of 2000

in direct contradiction to their statements in the U.S.

bankruptcy court.

The tax court case was dismissed after the debtor wasdirected to work with the IRS representative which was

impossible.

CASE 4 The case was dismissed again at the motion of the

U.S. Trustee before the debtor could have the court hear the

IRS claims and the debtors case against the IRS.

The debtors object to the following Legal Arguments made by

the U.S. Trustee.

Because the Debtors' schedules show a negative cash flow of

(-$624) per

month, the estate is experiencing a significant loss each

month.

Object Competence Trustee is misinterpreting theschedules.

Object Relevance. In absence of plan inferences

are without foundation

Although this cash flow has also been calculated with a

rental income of $1,500 per month, according to the Debtors'



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SoFA, their rental income has only been about $960 per month

this year. This means the negative cash flow is likely even

greater.

Object Competence Relevance

The Debtors have also failed to show a reasonable likelihood

of rehabilitation because there is no indication that their

income will increase

Object Competence of Trustee to know debtors

plans

The debtors have not been asked to show

anything.

There is no duty for the debtor to showrehabilitation outside of the plan

With no equity in the house, fixed incomes, and massive

priority claims from the IRS, it is clear that the Debtors

will not be able to confirm a chapter 11 plan to pay these

debts without any positive cash flow.

Object Competence of Trustee to know debtors

plan or facts of IRS claims.

Object.Conclusion by Trustee

The Debtors are just as unlikely to confirm a plan in this

case.

Object. Competence facts not in evidence of

Trustee is stating opinion

The value of the Debtors' home has apparently decreased from

$700,000 to $260,000

Object competence of parties making estimate due tofluctuations and collapse of the housing market..

Debtors are just as unlikely, if not more unlikely, to

rehabilitate their financial

condition now as they were with the previous four unsuccessful

petitions.


12/12

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Object. Competence of Trustee

Continuation of this case would unnecessarily delay proceedings, allow debts to accrue more

interest, and inhibit the secured creditors' rights to foreclose on the Property. For these reasons,

the Court should issue an Order dismissing or converting this case pursuant to U.S.C1112(b)(4)(A).

Object Facts not in evidence (unnecessarily delay)

CONCLUSION

Based on the foregoing the debtors submit that the court

should deny the U.S. Trustees motion and censure the U.S.

Trustee for not acting in good faith.

___________ Ronald B. Miller ___________________________

date

___________ Usoalii N. Miller ___________________________

date

Within the context of present economic conditions it would

be unfair and unjustifiable to hold the debtors responsible

for the loss in value of real estate in the United States.

Memo to Motion to Deny Motion to Dismiss With Line Numbers

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