Deposition Date Set For Snyder In Detroit Bankruptcy Case

DETROIT (WWJ) – October 9 will be a historic day as Gov. Rick Snyder will be deposed in Detroit’s bankruptcy case.

Snyder will be asked about his role in giving the green light to the bankruptcy — the largest municipal Chapter 9 filing in U.S. history.

“It’s very important that [Detroit Emergency Manager] Kevyn Orr bargained in good faith when he tried to negotiate with creditors before filing for the bankruptcy,” explained WWJ Legal Analyst Charlie Langton, “and under the law, the governor is the person that has to give the OK before Detroit can file bankruptcy.”

The deposition will take place in Snyder’s Lansing office, according to court records.

Langton said Snyder will be questioned by lawyers for city creditors.

“This is very unprecedented,” Langton said, “However, Detroit’s bankruptcy is also unprecedented, and there are real, serious issues here that the government, apparently, has some involvement in about maybe can shed some light over.”

Orr, in July filed for Chapter 9 protection on behalf of the city, which is suffocating under an estimated $18 billion in long-term debt.

Federal Judge Steven Rhodes will determine later this month if the bankruptcy should go forward.

[Detroit Bankruptcy: Complete Coverage]


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