Daily News: June 11, 2012

Equipment Lessors Seek Protection in Dewey Bankruptcy

The Connecticut Law Tribune reported that the group of equipment lessors involved in the Dewey & LeBoeuf bankruptcy are opposing the use of cash collateral to fund its Chapter 11 bankruptcy, arguing that the approval of such an arrangement unfairly favors secured creditors and leaves unsecured creditors with little recourse if their bills are not paid.

According to the Tribune, the objections, which also include a claim that the Dewey estate has already sold some of the property owned by the lessors, suggest that things could get contentious at a hearing scheduled for next Wednesday at which Manhattan bankruptcy judge Martin Glenn will consider Dewey’s final motion requesting the use of its cash collateral.

To read the story posted by the Connecticut Tribune, click here.

Previously on abfjournal.com:

Dewey Update: Interim Approval to Use Cash, Committees Named, Monday, June 04, 2012