Bankrupt Synagro Lowballed $4M Claim, Conn. City Says

Law360, Wilmington (August 15, 2013, 10:14 PM ET) -- The city of Waterbury, Conn., urged the Delaware bankruptcy court Thursday to reject Synagro Technologies Inc.'s Chapter 11 plan, saying the biosolids recycling company largely undervalued the $4 million it owes to the city, making the plan unworkable.

Synagro makes provisions to pay the city only $623,000, but the municipality says it is actually owed $4.3 million connected to a sludge disposal agreement the company had with Waterbury, according to the motion filed in the U.S. Bankruptcy Court for the District of Delaware.

The discrepancy is...
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