BankruptcyRSS

  • August 22, 2007

    Still Under Regulator Fire, Sentinel Turns To Trustee

    Overwhelmed by the regulatory actions it has been slammed with in the last week over alleged securities fraud, Sentinel Management Group Inc. has asked the bankruptcy court to appoint a trustee to oversee its operations.

  • August 22, 2007

    Subprime Lender Stops Loans, Slashes Workforce

    Accredited Home Lenders Holding Co. has stopped accepting new U.S. loan applications, will cut its workforce by more than half and shutter its 60 retail branches as well as five of the company's ten wholesale divisions in response to tumultuous conditions in the subprime mortgage industry.

  • August 22, 2007

    Bankruptcies Forecast To Keep Rising

    Business bankruptcy filings are expected to top 30,000 by the end of 2007 as the economy, driven down by rising energy prices and turmoil in the mortgage industry, continues to weaken.

  • August 22, 2007

    Countrywide Seeks Stay Lift To Recover Payments

    Countrywide Home Loans Inc., America's largest mortgage lender and a secured creditor of bankrupt SouthStar Funding LLC, has asked a federal bankruptcy judge to lift an automatic stay in order to allow it to recover monthly mortgage payments it claims it is owed.

  • August 22, 2007

    Trustee Slams Metabolife Plan

    A United States Trustee has voiced opposition to Metabolife International Life Inc.'s proposed Chapter 11 Plan, arguing that it will shield the ephedra diet pill maker's officials and subsidiaries from future lawsuits and free fiduciaries of their responsibilities.

  • August 22, 2007

    SAP Challenges Tweeter's Software Rights

    A subsidiary of software manufacturer SAP AG has challenged bankrupt electronics retailer Tweeter Home Entertainment Group Inc.’s rights to its software, claiming their license agreement was vacated when Tweeter was sold last month.

  • August 22, 2007

    New Century, Deutsche Bank Settlement Approved

    A federal bankruptcy court judge has signed off on a settlement agreement between bankrupt subprime lender New Century Financial Corp. and Deutsche Bank subsidiary DB Structured Products Inc., putting to rest a purchase contract dispute between the two companies involving the secondary market for mortgage loans.

  • August 22, 2007

    Wholesale Lender Quality Home Loans Enters Ch. 11

    The faltering housing market has claimed yet another victim, with California-based subprime lender Quality Home Loans Corp. filing for Chapter 11 protection on Tuesday.

  • August 22, 2007

    Judge Gives Bally Permission To Plow Ahead

    In a boost for Bally Total Fitness Holding Corp., a federal bankruptcy judge has given the fitness giant the green light to revamp its prepackaged restructuring plan in light of a new financing proposal put forth by hedge fund Harbinger Capital Partners.

  • August 21, 2007

    AMC Hit With Proposed WARN Act Class Action

    A week after filing for bankruptcy, subprime lender Aegis Mortgage Corp. was hit with a purported class action on Monday, accusing it of laying off hundreds of workers without giving them sufficient advance notice, as is required under the Worker Adjustment and Retraining Notification Act.

  • August 21, 2007

    Harbinger Tries To Pry Docs Out Of Asarco's Hands

    After multiple failed attempts, Harbinger Capital Partners has made a final bid to obtain confidential documents from Asarco LLC, undeterred by the bankrupt mining company's previous efforts to block the move.

  • August 21, 2007

    Hollinger's Banks Want A Piece Of The STMG Pie

    Hollinger Inc.'s indenture trustees, Delaware Trust Co. and HSBC Bank USA, want immediate court protection from what they say are the bankrupt behemoth's rapidly dwindling assets—in the form of its off-limits stock in Sun-Times Media Group Inc. if necessary.

  • August 21, 2007

    Reliant Energy Power Plant Files For Ch. 11

    A Reliant Energy Inc. power plant in Channelview, Texas has filed for Chapter 11 bankruptcy protection, citing a lack of cash needed to repay a $14 million revolving credit facility.

  • August 21, 2007

    Citing Work Ahead, Calpine Asks To Keep Its CEO

    Bankrupt Calpine Corp. has asked a judge to extend the tenure of its current chief executive officer until June 2008, saying his continued leadership is needed as it faces the challenges of Chapter 11 plan confirmation and emergence.

  • August 21, 2007

    Sentinel Gets Court OK To Pay Investors $300M

    Sentinel Management Group Inc. on Monday won bankruptcy court approval to distribute almost $300 million in clearance account funds to investors despite protests from the Securities and Exchange Commission and Farr Financial Inc., both of which have sued the fund in the last week in the hopes of freezing its assets.

  • August 21, 2007

    Dana Works To Tie Up Supplier Claims

    Bankrupt auto parts maker Dana Corp. has continued to work to tie up its suppliers’ claims, reaching an agreement with one supplier and requesting mediation with a second.

  • August 21, 2007

    Delta Mills Gets More Time To Solicit Approval

    A federal bankruptcy court judge has granted woven textile maker Delta Mills Inc. more time to win support for its liquidation plan, extending the company's exclusive period to solicit acceptance to Sept. 14.

  • August 21, 2007

    Ginnie Mae Wants $450M Back From AHM

    The Government National Mortgage Association has asked a bankruptcy court judge to force American Home Mortgage Investment Corp. to hand over almost $450 million worth of mortgage loans it is servicing.

  • August 21, 2007

    First Magnus Files For Ch. 11

    First Magnus Financial Corp., one of the biggest privately held mortgage lenders in the U.S., filed for Chapter 11 on Tuesday, marking the latest lender to slide into bankruptcy amid a downturn in the housing market.

  • August 20, 2007

    Judge Tosses Most of Adelphia Shareholders' Claims

    Adelphia shareholders suffered a setback Friday when a bankruptcy judge tossed out almost all of their claims against Wall Street financial firms involving their connection to the cable company's collapse.