Judge Steven Rhodes approved Detroit’s plan to get out of bankruptcy, ending the largest public filing in U.S. history on Friday. Here’s a look at the events leading up to that decision.
The judge overseeing Detroit’s bankruptcy is ready to decide whether the city’s plan to regain solvency is a good one.
“A one-time sale is detrimental to the long-term benefit of the city,” Kevyn Orr said. “Selling any art would cause a maelstrom.”
Orr also was questioned on various topics associated with the bankruptcy, including the city’s poor track record of collecting taxes.
Orr’s debt restructuring plan, in which deals have already been reached with most creditors, sets aside $1.7 billion for improving city services.
The Detroit City Council on Thursday unanimously approved a plan to transfer daily operations to elected officials while retaining the state-appointed emergency manager to oversee bankruptcy matters until they are resolved.
Will Kevyn Orr Stay Or Go? Detroit City Council Debates Emergency Manager’s Future Behind Closed Doors
Detroit City Council entered a third day of discussions about the future of Emergency Manager Kevyn Orr.
Removal of Orr as the city’s emergency manager and restoring power back to Detroit Mayor Mike Duggan and the nine-member city council could come as soon as Sept. 29.
Detroit and bond insurer Syncora finished the deal announced last Tuesday to settle over $400 million in claims.
A judge has suspended Detroit’s bankruptcy trial until Monday to give the city more time to work out details of a settlement with a major creditor.