Headlines

Please note that in order to view the content for the Bankruptcy Headlines or the Bankruptcy Brief Newsletter you must either Login if you are already an ABI member, or otherwise you may Join ABI
Format: 08-21-2014
August 21, 2014
Underwriters for up to $5.5 billion of Detroit water and sewer revenue bonds released preliminary sale documents for the deals on Tuesday as a tender offer for existing bonds continues, Reuters reported yesterday. If enough bonds are tendered by 5 p.m. EDT today and sufficient savings are projected...
August 21, 2014
President Cristina Fernandez on Tuesday unveiled legislation that seeks to push bondholders to swap defaulted debt for new notes governed by Argentine law, a move aimed at skirting a U.S. ruling that prevented her government from paying its creditors, Reuters reported yesterday. Argentina slid into...
August 21, 2014
Candidates are being interviewed this week for the position of chief restructuring officer at Puerto Rico's struggling power authority, Reuters reported yesterday. The Puerto Rico Electric Power Authority (PREPA) must hire a CRO by Sept. 8 under an agreement with creditors as it works on developing...
August 21, 2014
Bank of America Corp. is set to pay a record settlement of nearly $17 billion over its mortgage lending, capping a legal odyssey that has dogged it since the depths of the financial crisis, the Wall Street Journal reported today. The deal will resolve a government investigation that stems largely...
August 21, 2014
Countrywide Financial Corp. co-founder Angelo Mozilo hasn’t entirely escaped prosecutors’ wrath for his company’s risky lending, Bloomberg News reported yesterday. A U.S. government task force wielding an innovative legal strategy plans to bring a civil case against him over the excesses of the...
August 21, 2014
The court-appointed trustee overseeing the liquidation of Thornburg Mortgage Inc. has reached a deal with Barclays Capital Inc. to settle a subprime-era lawsuit alleging the bank made improper margin calls that helped drive the mortgage lender into bankruptcy, Dow Jones Daily Bankruptcy Review...
August 21, 2014
In a particularly harsh opinion, U.S. District Judge Lynn Hughes of Houston denied an appeal by a former chapter 7 bankruptcy trustee who challenged his removal from all 12 of his cases after the lawyer billed an estate $3,486 for his family's four-night trip to New Orleans — a "breach of trust"...
August 21, 2014
The trustee representing Yellowstone Club creditors offered a reward yesterday to anyone who can help uncover property or bank accounts the luxury resort’s co-founder might have hidden from bankruptcy proceedings, the Associated Press reported yesterday. Brian Glasser, an attorney with Bailey...
August 21, 2014
Lehman Brothers Holdings Inc.'s brokerage is asking a U.S. court to reconsider its ruling affirming Barclays PLC's right to billions of dollars in disputed assets, saying that the decision throws into question the integrity of bankruptcy sales, the Wall Street Journal reported today. The trustee...
August 21, 2014
The nation's oldest cutlery manufacturer has filed for bankruptcy after 177 years of making knives and other kitchen tools, the Associated Press reported yesterday. Lamson & Goodnow Manufacturing Co. of Shelburne Falls, Mass., filed for Chapter 11 bankruptcy earlier this month and the business...
August 21, 2014
First Investors Financial Services Group agreed to pay a $2.75 million penalty to regulators over accusations that it consistently gave giant credit reporting agencies like Experian and Equifax flawed reports about thousands of car buyers, the New York Times reported today. The reports, the...
August 21, 2014
Nireus Aquaculture SA — named after an ancient Greek sea god — is awash in an ocean of debt and has become a parable for the bad loans crippling Greece's corporate sector, the Wall Street Journal reported today. Most of the company's big investors have fled, profits and dividends have disappeared...