Bankruptcy

  • February 6, 2006

    Delta Dumps Deloitte & Touche As Auditor

    As Delta Airlines continues to struggle with reorganization, the bankrupt carrier has decided to replace accounting firm Deloitte & Touche with Ernst & Young as its independent auditor for the 2006 fiscal year.

  • February 3, 2006

    Skadden Ranked #1 In Bankruptcy Litigation Survey

    In a year marked by some of the biggest bankruptcies in history, Skadden Arps, Reed Smith and DLA Piper Rudnick led the way with their involvement in practically every headline-grabbing case in 2005, according to our survey of the 100 most frequently hired bankruptcy groups in the United States.

  • February 3, 2006

    Besieged Steel Maker Seeks Speedy End to Chapter 11

    Forced to file for bankruptcy protection in mid-January after defaulting on an $84 million loan, steel producer Galvex has requested that its Chapter 11 proceedings be dismissed, in the wake of an agreement reached last week with its primary lender.

  • February 3, 2006

    Airline Bankruptcies Cause Airport Woes

    Delta Airlines and Boston’s Logan Airport continue to tussle over what to do with Delta’s underused $500 million terminal, a fight that spotlights the effects of airline bankruptcies on the country’s airports.

  • February 3, 2006

    Silence From Northwest As Unions Make Offers

    Northwest Airlines flight attendants offered this week to give up 1,553 jobs and accept a 22.5% pay cut, but the embattled airline's management remains tight-lipped as hearings on its request to scrap employee collective bargaining agreements continue.

  • February 2, 2006

    Refco Creditor Devises Plan For Customer Asset Recovery

    In what could be a windfall for Refco customers, one of the commodities broker’s creditors has come up with a proposal that would resolve the question of what to do with the assets customers had kept in accounts at Refco Capital Markets.

  • February 2, 2006

    Calpine Appeals To Get Out Of Energy Contracts

    Gearing up for a nasty fight with California’s attorney general, Calpine Corp. has challenged a federal judge’s rejection of the company’s request last week to cancel eight long-term electricity contracts.

  • February 2, 2006

    Delphi’s Unsecured Creditors to Retain Jefferies & Co.

    The unsecured creditors committee of auto parts maker Delphi Corp. has asked a federal court to retain Jefferies & Company Inc. as its investment banker and financial adviser in a deal that could lead to a huge bonus payout for the global investment bank.

  • February 6, 2006

    SEC Eyes Hedge Fund Activity On Bankruptcy Panels

    A move by the U.S. Securities and Exchange Commission against a hedge fund manager who served on WorldCom’s creditors committee may herald a crackdown against perceived fraud and abuse of insider information gleaned from bankruptcy proceedings, bankruptcy experts say.

  • February 2, 2006

    Northwest Begs Judge To Postpone Antitrust Lawsuit

    Northwest Airlines Corp. has asked a bankruptcy judge to delay an antitrust class action lawsuit brought against the carrier, on the grounds that the lawsuit could potentially stall its emergence from bankruptcy.

  • February 1, 2006

    Refco Gets A Break On Asset Sales

    A federal bankruptcy judge delivered some good news to embattled brokerage firm Refco, Inc. this week, after siding with the company twice in matters related to the ongoing division of its assets.

  • February 1, 2006

    FTC OKs Adelphia Sell-Off to Comcast, Time Warner

    The Federal Trade Commission has given the green light to the $17.6 billion sale of bankrupt and scandal-ridden cable company Adelphia Communications Corp. to former rivals Comcast Corp. and Time Warner Inc.

  • February 1, 2006

    Bankrupt Diocese Makes $45.7M Offering To Victims

    Embroiled in thorny bankruptcy proceedings, the Roman Catholic Diocese of Spokane, one of three nationwide Roman Catholic dioceses that have filed for bankruptcy due to claims of sexual abuse by priests, has offered a $45.7 million settlement to victims.

  • February 1, 2006

    Lawmakers Ponder Credit Rating Agency Regulation

    U.S. lawmakers are considering proposals to regulate the credit rating agencies that played a role in the downfall of companies such as Enron and WorldCom.

  • February 1, 2006

    Wisconsin Seeks Outside Help in Calpine Bankrupcy

    Wisconsin Attorney General Peggy Lautenschlager has asked the governor for permission to retain outside legal counsel to represent the state in the bankruptcy proceedings of power giant Calpine Corp., anticipating complicated maneuvers to wiggle the company out of its energy contracts under the shield of Chapter 11 protection.

  • February 1, 2006

    Bank of America Shifts Parmalat Suit to NYC

    Caught in the cyclone of litigation surrounding Italian dairy giant Parmalat’s collapse, Bank of America, a defendant in one of the lawsuits, has been allowed to transfer its case from North Carolina Superior Court to a New York district court.

  • February 1, 2006

    Corporate Bankruptcies Down, But For How Long?

    Corporate bankruptcies plunged last year to the lowest level since 1997, marking the fourth year in a row that Chapter 11 filings have declined. But some experts warn the low tide is funded in part by hedge funds, and that a liquidity crunch could cause a sharp rise in bankruptcies in the future.

  • January 31, 2006

    Lay, Skilling Attorneys Blame Corporate "Bad Guys"

    A few powerful “bad guys” in Enron’s corporate finance group turned the energy giant into the “victim of an immediate, unanticipated and temporary drain on its liquidity,” counsel for the company’s former top executives told the jury at the opening of their fraud trial in Houston Tuesday.

  • January 31, 2006

    ATA Reemergence Plan OK’d By Judge

    A bankruptcy court has approved the reorganization plan of struggling airline ATA, clearing the way for the carrier to emerge from bankruptcy at the end of February.

  • January 31, 2006

    Feds Accuse Impath Big-Wig Of $260M Fraud Scheme

    In the kick-off to his criminal trial, federal prosecutors have accused the former president of Impath Inc. of engineering a massive accounting fraud scheme that cost shareholders $260 million and drove the medical diagnostic company straight into bankruptcy.