Everybody with information has shocked concerning the insolvency of E-gold. What is it and regard such statement produced by the management of E-gold?
About 1PM New York time in the newsfeed of Google News appeared a press release using a link to http://www.prlog.org/10087220-gold-ltd-and-gold-silver-reserve-gsr-inc-bankruptcy-announcement.html published on behalf of the owners of E-gold Ltd. and Gold & Silver Reserve (G&SR), Inc. In the the writing Chairman of E-gold Douglas Jackson and Manager Barry K. Downey have created a statement that on July 7, 2008 the companies E-gold Ltd. and Gold & Silver Reserve were declared insolvent.
From that moment, following the Bankruptcy Code (Title 1 1, United States Code) a bankruptcy procedure, controlled by Chapter 7 of Bankruptcy Code will begin. According to that chapter the trustee assembles and sells the debt or non exempt assets and uses the proceeds of such assets to pay holders of claims (creditors) in accordance with the provisions of article 726. The assets obtained subsequent to the start of the bankruptcy proceeding by the debtor and excluded from your bankruptcy assets are not comprised.