Opinion
No. 1-79-00821
December 18, 1979
Individual Repayment Plan — Confirmation — Secured Claims — Late Filing
A secured creditor which files its claim after the first meeting of creditors in a Chapter 13 proceeding may be paid pro rata along with unsecured creditors. See Sec. 1325(a)(5) at ¶ 13,216 and Rule 13-302 at ¶ 20,952.
[Digest of Opinion]
The creditor failed to file its secured claim by the time of the first meeting of creditors in this Chapter 13 proceeding, contrary to Bankruptcy Rule of Procedure 13-302(e)(1). Nevertheless, the proposed Chapter 13 plan provided for payment in accordance with the contract of the secured creditor.In disallowing payment to the secured creditor under the terms of its contract, the court noted that the Bankruptcy Act Rules do not conflict with the Bankruptcy Code, Section 1325(a)(5)(b)(ii) in providing "if the secured claim is not filed prior to the time of the first meeting of creditors that the secured creditor cannot be paid except pro rata along with unsecured creditors although they still maintain their lien."