I'm sorry to hear about your situation. Business deals going south can certainly make the worst enemies from the best of friends.
Regarding the 2004 examination
, there is really no way to "fix" it; the debtor is generally required to attend 2004 examinations and testify under oath. According to Rule 2004(a), any party in interest can file a motion and request a 2004 examination, and then the court can order it. I suppose technically you could file an objection to their motion for the 2004 exam, though I have never seen anyone do this. And, I would guess the court would be dubious as to what the debtor is hiding to make them not want to testify further, unless perhaps you can show the intent behind the motion is in bad faith and the exam is being requested ONLY for harassment.
Generally, the best the debtor can do is talk to his or her lawyer in advance to be as prepared as possible. Like in any deposition, many lawyers advise their clients to keep his or her answers absolutely as short as possible and not offer any more information that the question specifically asks for. For example, if asked "Did you close any bank accounts in 2012?", and you didn't, then the only good answer is "No." I have seen people answer questions like that with "No, it was 2011," or "No, I thought about closing my account at Chase but then when I went down there the teller said I couldn't because...." The correct answer is just "No." One should always make the questioner ferret out the info they are looking for; don't spoon feed it or the deponent can create more problems than they fix.
I apologize I do not have a lot of information for you, but it sounds like your situation is quite complicated, and your question is difficult to answer since there really is no answer to how to fix your dilemma. I would say don't panic, talk to your lawyer, and be ready when the 2004 examination rolls around. They are often not as bad as you expect them to be, and I have had some that were quite short. Certainly some of them are long and in depth, but the last one I had in December took about 5 minutes.
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