Lesson 9: Bankruptcy Records in TINS

Introduction

If a payee (or other entity) is on hold and has an active bankruptcy, their warrants may be held but cannot be offset against a state debt.

To avoid offsetting held warrants subject to bankruptcy:

1. The payee on hold notifies the hold source agency of the bankruptcy
2. The hold source agency verifies the bankruptcy and adds a bankruptcy record to TINS 

To notify the hold source of an active bankruptcy, the payee may complete Section B – Bankruptcy Status of the Notice of State Payment(s) Held letter (see Lesson 4) and either:

• Return the letter to the hold source agency to report their bankruptcy
• –OR–
• Submit the letter to the Comptroller’s office

After the hold source agency verifies the bankruptcy and the hold record is retained, the bankruptcy information is added to TINS.

Note: Bankruptcy information is only added to TINS if the payee is on hold.

If the payee notifies the hold source agency that the bankruptcy is no longer in place, the bankruptcy record must be deleted from TINS.

Next: Recalling, Adding, Changing and Deleting a Bankruptcy Record – BKRUPD