Wednesday, July 24, 2013

FOXNews.com: Judge begins first hearing on Detroit's bankruptcy

FOXNews.com
FOX News Network - We Report. You Decide. // via fulltextrssfeed.com 
Judge begins first hearing on Detroit's bankruptcy
Jul 24th 2013, 14:39

A judge is considering what to do with challenges to Detroit's bankruptcy from retirees who claim their pensions are protected by the Michigan Constitution.

U.S. Bankruptcy Judge Steven Rhodes settled into his chair shortly after 10 a.m. EDT. The city wants him to put a stop to lawsuits in other courts, especially after an Ingham County judge said state officials ignored the constitution and acted illegally in approving the bankruptcy last week.

The state appeals court temporarily stopped three lawsuits challenging the bankruptcy process on Tuesday.

As lawyers for some of the thousands of creditors arrived Wednesday, they passed protesters holding a banner saying: "Cancel Detroit's debt. The banks owe us."

The case is expected to last at least a year.

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