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Detroit Manager Denies Bankruptcy Was In The Bag

Detroit Bus Drivers Hold Work Stoppage, Protest Working Conditions
Photo by Joshua Lott/Getty Images

DETROIT (AP) — Detroit’s emergency manager is back in the witness chair in the city’s bankruptcy trial, taking questions about emails that suggest lawyers were talking about a Chapter 9 filing months before it occurred.

But Kevyn Orr answered “no” Monday when an attorney for retired police officers asked if bankruptcy was a forgone conclusion.

Unions and pension funds are asking a judge to throw out Detroit’s filing or at least protect the pensions of city retirees. They accuse Orr and his staff of failing to engage in “good-faith” negotiations before the petition was filed in July, a key step under federal law.

Orr says creditors had plenty of time to come up with proposals. He says the city must fix $18 billion in long-term debt.


Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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