6th Circ. Remands Casino Case After High Court Ruling

By Joyce Hanson (April 22, 2019, 10:21 PM EDT) -- The Sixth Circuit said Monday that a U.S. Supreme Court decision resolves a circuit court split over the correct interpretation of the U.S. Bankruptcy Code's "safe harbor" provision and overturns circuit court precedent on which two courts relied in a trustee's suit against a tribe and casino.

The three-member panel vacated a district court judgment and remanded to bankruptcy court a case involving the bankrupt Greektown Casino in Detroit, owned by the Sault Ste. Marie Tribe, and the allegedly fraudulent transfer of $177 million to the tribe and its gaming authority.

In handing down its order, the Sixth Circuit cited the high...

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