Some Of AMR's $5B Not Properly Invested: Feds

Law360, New York (December 22, 2011, 4:38 PM EST) -- The U.S. government said Thursday that airline operator AMR Corp. had deliberately amassed a "war chest" of $4.8 billion before filing for bankruptcy — more than the $4.1 billion it originally claimed to have — and that some of it is improperly invested under Chapter 11 rules.

An attorney for the U.S. Trustee's Office, which oversees bankruptcy cases, told U.S. Bankruptcy Judge Sean H. Lane at a hearing in New York that only $256 million of the total amount is being held in accounts protected by...
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