U.S. Trustee Objects To Delphi Emergence Pact

Law360, New York (January 4, 2007, 12:00 AM EST) -- The U.S. Trustee overseeing Delphi Corp.’s Chapter 11 proceedings has added her voice to the chorus of objections to the auto parts maker’s plan to emerge from bankruptcy using up to $3.4 billion dollars from private equity investors.

U.S. Trustee Diana G. Adams on Wednesday objected to the debtors’ motion for a court approval of the equity and framework agreements included in the plan.

First, Adams said that the equity agreement calls for the debtors to shell out millions in fees and expenses without oversight by...
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