Colonial Asks Judge To Reconsider Ch. 11 Plan

Law360, New York (May 26, 2011, 7:17 PM EDT) -- Colonial BancGroup Inc. on Monday asked an Alabama bankruptcy judge to reconsider his refusal to confirm its Chapter 11 plan, saying it has made changes addressing concerns that retaining a plan administrator would be more expensive than hiring a liquidation trustee.

The Federal Deposit Insurance Corp., the receiver for Colonial's collapsed subsidiary Colonial Bank, and others objected to the plan amid their push to have the case converted to a Chapter 7 liquidation. On May 20, U.S. Bankruptcy Judge Dwight H. Williams Jr. agreed.

Judge Williams...
To view the full article, register now.
Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.