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By Mary Ann Gorman
Mt. Gox is in the hot seat as they were granted Chapter 15 bankruptcy protection by the U.S. on Monday. This move prevents traders in the U.S. from taking legal action against them for the current time, protecting their U.S. assets.
The company is fighting off fraud allegations and a proposed class action suit in Chicago. Mt. Gox, who at one time was the nation's biggest bitcoin exchange, filed bankruptcy in Japan in February.
Last month Mt. Got claimed to have been attacked by hackers which resulted in the loss of 750,000 bitcoins owned by customers. The attack supposedly was due to a glitch in bitcoin's software algorithm.
Mt. Got's founder, Mark Karpeles, has been in the spotlight throughout all of the fraud allegation talk.
Some of Karpeles actions right before the U.S. bankruptcy filing were called into question.
Attorney Jane Pearson stated, "We don't have proof yet but we do have concerns about the movement of hundreds of millions of dollars in bitcoins over the weekend, moved by Mr. Karpeles."
Attorneys for Mt. Got deny such fraudulent acts. In April, Mt. Got will be back in court as they try to get permanent stay of U.S. litigation.

Bringing you the most up-to-date news, tips and blogs throughout the web. Here’s your Bankruptcy Update for March 11th, 2014 Sbarro pizza chain files for bankruptcy Mt Gox bitcoin exchange files US bankruptcy papers Judge Approves Edison Mission Plan to Exit Bankruptcy

By Mary Ann Gorman
Melville, New York-based, Sbarro, has filed for Chapter 11 bankruptcy for the second time in three years. The pizza chain has struggled with debt and competition in the marketplace.
In the Chapter 11 reorganization plan, Sbarro hopes to cut down its debt by over 80 percent. Sbarro also plans to close approximately 50 locations, on top of the 180 money-losing operations they have already shut down.
Although the bankruptcy will not affect the franchise owned 582 restaurants, Sbarro as a company has 799 restaurants and employs over 2,700 people.
Sbarro has seen a drop off in mall traffic, where many of their restaurants are located. Their business model has also been called into question.
A restaurant consultant said, "Sbarro has been struck with an outdated business model...Its biggest shortcoming is that is sells food that has been sitting out for a while, and more people want food made to order."

If you lost your Oregon home in a foreclosure or gave it up in a short sale prior to 2014, there were no tax repercussions to the forgiveness of debt. Unfortunately, the exception in the tax laws that made this so has now expired.
If you lost your principal residence in a foreclosure or gave it up in a short sale in 2014, you may still need to pay taxes on the forgiven debt. Until cooler heads prevail and the exception in the tax laws is reenacted, there are still two ways to avoid going out of pocket to the tax man. These exceptions can be applied not only to debts forgiven in a short sale or foreclosure but to debts eliminated in a debt settlement arrangement.
1. Insolvency: Forgiven debt is not counted as income if your remaining debts are greater than the value of your assets when the forgiveness occurs. So take away the mortgage that was foreclosed and total up the value of your assets and determine if the total value of those assets is less than what you still owe. Chances are if you are on this website, the answer is that your stuff is worth considerably less than what you owe on your other debts. The only real wrinkle is that the value of your 401k will be counted in the asset total.r.
2. Bankruptcy Discharge: Debt discharged in bankruptcy cannot create tax liability if the sale takes place later. Your personal liability is extinguished by the bankruptcy so there is no debt forgiveness in the later foreclosure or short sale.
If you have any questions at all regarding foreclosure, debt forgiveness, insolvency or bankruptcy, please feel free to contact either our Portland or Salem Bankruptcy Law Offices for  a free consultation.
The original post is titled Mortgage and Debt Forgiveness in Oregon and the IRS , and it came from Oregon Bankruptcy Lawyer | Portland, Salem, and Vancouver, Wa .