Judge Stops All Lawsuits against Detroit Bankruptcy

Ad Feedback

A federal judge has halted all lawsuits challenging the city of Detroit's bankruptcy case.

Retired city employees have been suing the Motor City over proposed pension cuts that are part of its bankruptcy filing.

The decision Wednesday by U.S. Bankruptcy Judge Steven Rhodes freezes all the litigation filed in state courts.

A local court had ruled earlier that Gov. Rick Snyder violated the state's constitution in approving the Chapter 9 bankruptcy filing.

Judge Rhodes said he will address those challenges later. Meanhwile, union officials vow to continue fighting.

"This fight is going to go on. It's not going to stop at this point," said Edward McNeil, an official with the American of State, County and Municipal Employees.

"We're going to continue to move forward," he said. "We've got people that we know are going to be protected because there's a constitution that says they have a right to be protected by their pensions."

The judge must now weigh the facts and decide if the bankruptcy filing is valid, before it can proceed.
Detroit is about $18 billion in debt.

Log in or create an account to post a comment.  


Are you seeking answers in life? Are you hurting? Are you facing a difficult situation?

Find peace with God, discover more about God or send us your prayer request.

Call The 700 Club Prayer Center at 1 (800) 823-6053, 24 hours a day.

A caring friend will be there to pray with you in your time of need.

CBN News


CBN News is a national/international, nonprofit news organization that provides programming by cable, satellite, and the Internet, 24-hours a day. Follow us on Facebook, Twitter, and Google+.