GE Capital Blasts Gottschalks Liquidation Plan

Law360, New York (February 25, 2010, 5:29 PM EST) -- General Electric Capital Corp. has lashed out at Gottschalks Inc.’s liquidation plan, saying it fails to make good on certain obligations Gottschalks owes GE Capital as a lender.

GE Capital, which served as one of Gottschalks' primary lenders before bankruptcy and negotiated a $125 million debtor-in-possession facility with the company upon its filing, lodged the objection Wednesday in the U.S. Bankruptcy Court for the District of Delaware.

In its objection, GE Capital claims the plan wrongly strips creditors of protections offered by the U.S. Bankruptcy Code...
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