Hayes Lemmerz Creditors Try To Shred Ch. 11 Plan

Law360, New York (October 7, 2009, 6:01 PM EDT) -- Creditors have pelted Hayes Lemmerz International Inc. with objections to a broadly supported amended plan of reorganization they say is amiss, not least because the bankrupt wheel maker failed to obtain consent from certain lenders before arranging debtor-in-possession financing.

Mercator CLO III Ltd. led the pack of aggrieved parties Tuesday in the U.S. Bankruptcy Court for the District of Delaware, claiming the amended plan cannot be confirmed as the debtors and certain DIP lenders largely excluded the investment fund from the proceedings and otherwise failed to...
To view the full article, register now.