If a credit report shows that the person declared bankruptcy, then you also have to comply with provisions of the federal Bankruptcy Act.

Under the Bankruptcy Act, you may not discriminate against an applicant solely because a credit check reveals that an applicant has sought protection under the Bankruptcy Act, been insolvent before seeking protection under the Act, and not paid a debt that is dischargeable under the Act.

In other words, bankruptcy is not a valid reason to deny employment.