Trial starts; Is Detroit eligible for bankruptcy?

By: Associated Press Email
By: Associated Press Email

A lawyer says Detroit will present a "mountain of evidence" to show the city is insolvent and deserves to turn itself around in bankruptcy court.

An extraordinary trial opened Wednesday in Detroit's 3-month-old bankruptcy, the largest public filing in U.S. history. The city must show it cleared certain hurdles to be eligible to restructure as much as $18 billion in debt.

One of those critical steps is proof of good-faith negotiations with creditors before bankruptcy became the choice in July. Unions and pension funds will argue that Detroit flunked that requirement.

In his opening remarks, city attorney Bruce Bennett says he could "stand here for hours" describing Detroit's ruinous finances.

Outside the courthouse, dozens of people protested against possible pension cuts.


Comments are posted from viewers like you and do not always reflect the views of this station.
powered by Disqus
WNDU - Channel 16 54516 State Road 933 South Bend, IN 46637 Front Desk: 574-284-3000 Newsroom: 574-284-3016 Email: newscenter16@wndu.com
Copyright © 2002-2014 - Designed by Gray Digital Media - Powered by Clickability 228956711 - wndu.com/a?a=228956711
Gray Television, Inc.