The City Council of Harrisburg, Pennsylvania took the extraordinary action of filing for chapter 9 bankruptcy on October 12, 2011 “by fax”. Harrisburg Mayor Linda D. Thompson shortly thereafter filed papers that requested an emergency hearing to seek dismissal of the bankruptcy case, saying the filing approved by four city council members was “unauthorized.” The petition stated the city is “in imminent jeopardy through six pending legal actions by creditors” that are related with the city’s failed trash incinerator project. Chapter 9 allows municipalities to restructure their debt like a chapter 11 but differs in one major aspect in that a bankruptcy judge can’t appoint a trustee to administer the municipality.
It's kind of hard to wrap your mind around a city filing for bankruptcy. I'm sure there is quite a lot of paperwork to sort through.
Posted by: Spencer Hale | October 27, 2011 at 07:32 PM
That is an understatement. That being said the true hard work occurs after the filing.
Posted by: Robert Grossbart | October 28, 2011 at 08:28 AM
The many options that can be considered for a home equity line is yet another indicator that the bankruptcy code was truly designed to help the average American as much as possible
Posted by: bankruptcy lawyers il | February 01, 2012 at 07:20 AM