Tower Opposes Creditors' Motion to Investigate

Law360, New York (June 5, 2007, 12:00 AM EDT) -- Tower Records asked the court overseeing its bankruptcy on Monday to deny its creditors' request for an investigation into some of the company's recent transactions, contributing to an increasingly tense relationship between Tower and the creditors.

Tower argued that the transactions in question had been approved by the court with the creditors' support, and that the creditors had not shown sufficient cause to investigate further.

The official committee of unsecured creditors filed motions on May 23 calling for the investigation of the board of directors and...
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