How to file for bankruptcy in India?

If you rack up debt and file for bankruptcy immediately afterwards, can all the debt be discharged?

• This is happening in the state of California. I gave someone of personal loan (in writing) of several thousand dollars. About two months later he declared bankruptcy. I heard that if you are taking out loans or making charges right up until you declare bankruptcy, that not all of your debt will be cleared (as in, purchases made a few months up until you file bankruptcy cannot be dismissed, to prevent people intentionally building tons of debt once they know they're in trouble and then declaring bankruptcy to free themselves from it. Is there any truth to this? Do you have to be named specifically in a bankruptcy for the debt to you to be cleared? What if you sue this person for a lack of payments after they have declared bankruptcy? Is there any chance of getting a judgement on them if you can prove (which I can) that they were still promising you payment at that point? I know nothing about bankruptcy laws in California. Any advice, specifically with links and references in the right direction, would be very much appreciated.

• Answer:

  When filing for bankruptcy, you must list all debt. Not all debt can be discharged in bankruptcy, but those that cannot are things like student loans, IRS and other govt' debt. Not personal loans. You might want to pursue the payment of debt in small claims court in California. If you were listed in the bankruptcy, you should have gotten a notice. There are several types of bankruptcy filings, chapter 13 is the most common and that includes a restructuring. You can find out more information on that online.