It was bad enough that a shady contractor ran off with $39,500 of Mark Poveromo’s hard-earned money. But when Poveromo tried to recoup those stolen dollars from thief Mark Koch, he soon found out that the law wasn’t on his side:

Two months before his conviction, Koch filed for bankruptcy protection in St. Louis, halting any monetary claims against him. Poveromo says notices of the bankruptcy filing were sent to Poveromo’s old business address and he didn’t see them.

Koch then filed a complaint to the bankruptcy court accusing Poveromo of intentionally violating the stay on claims by having him arrested to collect on his debt.

Judge Charles Rendlen III agreed with the builder. In a ruling filed in December, and without hearing from Poveromo, Rendlen noted “the highly suspect timing” of Koch’s arrest and conviction after filing for bankruptcy.

The judge said Poveromo intentionally violated the bankruptcy stay on claims by causing Koch’s arrest to collect on the debt.

The judge then ordered Poveromo to pay back the restitution Koch had given him, as well as attorney’s fees and costs. Poveromo, who recently agreed to a settlement that shortchanges him thousands of dollars, says it goes to show that “Crime does pay.” And it’s the perfect example, analysts say, of why Congress needs to revise the nation’s bankruptcy laws so that criminal restitutions can move forward during bankruptcies. “This is an outrageous decision,” said Anthony Sabino, a law professor at St. John’s University and a bankruptcy expert. “I think it’s a miscarriage of justice.”