Denny Hecker admitted in recently filed court documents that he bought back his own property at a bankruptcy auction held earlier this year.

According to court documents filed last month by bankruptcy trustee Randall Seaver, Hecker had his friend John Prosser bid on a Yamaha dirt bike and a 2006 Harley Davidson motorcycle for him at the bankruptcy auction that took place in May.

A fictitious entity-Warehouse Merchandising-was created and used to make the bids at the auction. That entity successfully purchased the dirt bike for $950 and the motorcycle for $15,900.

The credit card provided during the auction belonged to James Gustafson, a former executive of Hecker who has pleaded guilty to two charges related to Hecker's fraud scheme. According to Hecker's attorney Barbara May, the credit card was not actually used to purchase anything, but it was a requirement to enter the bidding process.

According to court documents filed Monday by May, Hecker intended to pay Prosser back for the items using a “large Toyota settlement he believed he had coming.”

The court documents, which were filed in response to Seaver's filing, say that Hecker paid Prosser $8,500 in cash and later issued two checks to Prosser, both of which bounced. Prosser is now selling the two items on the Internet even though he may not have the titles, according to the filing.

Hecker filed for Chapter 7 bankruptcy as an individual in June 2009. He was later charged with bankruptcy fraud related to false declaration and pertaining to transfer and concealment of funds.

In a separate criminal case, the government accuses him of defrauding lenders by forging documents to obtain more than $100 million in loans, and he was indicted on 26 felony charges relating to fraud, conspiracy, money laundering, and bankruptcy fraud.

Hecker pleaded guilty last month to two of the 26 criminal counts he faced. He faces up to 10 years in prison.

In October, Hecker was taken into custody after refusing to supply a sufficient answer when asked where his money comes from and why he hasn't paid for his public attorney. Earlier this month, U.S. Bankruptcy Judge Robert Kressel signed an order giving Seaver permission to sell a host of items belonging to Hecker, who is currently an inmate at the Sherburne County jail.