Judge Deals Caesars Bankruptcy Possible Fatal Blow
Bloomberg reported a judge dealt Caesars Entertainment’s bankruptcy reorganization a possible fatal blow in ruling that the company violated federal law when it shuffled assets and refinanced debt as part of an alleged scheme to protect itself from lower-ranking creditors.
Bloomberg said further the ruling came in a related lawsuit in Manhattan on the same day that the casino company sought bankruptcy protection last week in Chicago for its Caesars Entertainment Operating unit. According to Bloomberg , U.S. District Judge Shira Scheindlin rebuffed an attempt by the unit to dismiss the suit, which had been filed by noteholders.
To read the entire Bloomberg article, click here.
Previously on abfjournal: Lower Ranking Creditors Seeking to Force Caesars Bankruptcy, January 13, 2015