USEB Strikes Deal On Loan That Led To Bankruptcy

Law360, New York (January 16, 2007, 12:00 AM EST) -- U.S. Energy Biogas Corp., which filed for Chapter 11 protection in November 2006 citing an onerous loan agreement engineered by “self-dealing” executives, has predicted a speedy emergence from bankruptcy after reaching an agreement in principle with Countryside Power Income Fund.

As a result of the agreement with Countryside, U.S. Energy Biogas Corp. will be able to quickly pay off its creditors and exit bankruptcy, according to USEB. However, the agreement is still subject to court approval.

“We are elated with the agreement we were able to...
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