Friday, July 15, 2011

Bankruptcy Bar? States Aim to Deny Distressed Cities Chapter 9 Option

Posted by Claire Zillman

The Depression-era bankruptcy code provision known as Chapter 9, which lets local governments seek protection from creditors while restructuring debt, is a rarely used tool.

Since 1937 there have been a total of just 623 Chapter 9 filings in the United States, with 252 of them coming in the past 30 years. Compare that to the 13,500 Chapter 11 filings entered in 2010 alone.

Yet with local governments throughout the U.S. continuing to suffer the lingering effects of a sputtering economy, state lawmakers are apparently sensing a possible surge in new Chapter 9 filing--and are moving to stop it before it starts.


More Here..

12 comments:

  1. That means that cities will eventually be owned by the companies that they sell the tax liens to.

    They tried to sell out their citizens during a recession and it will eventually backfire.

    American Tax Funding will own us all.

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  2. ahhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhh that is it. people the government is not trying to be scum. the result of a divided house is a house not made of brick. we all live in house pecking order. so now its time to show gods what we are made of. me. im made of steel. hehehe. now you will see why they call me the man of action back in days of rage 2. well we failed then. now it is time for us to decide are futute. get ready people bad stuf coming are way. escuse the drunkin slers. and if you have orblem with my typing go suck on fruit.

    - sam

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  3. Can American citizens - also known as taxpayers - put a lien on Bush's water company in Paraguay?

    Water will be a hot commodity.

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  4. You bet it will.

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  5. we got you good scott

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  6. Debt slave and bondage that u can't get ou. hahahaaaaa

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  7. im back. i had a thing to ask if people would be helpful. how do you file bankruptcy. I heard it makes you get money. if senaters print bankruptcy people cash is it good to be right. There sounded to be some bad magic around those of being bankrupt why then if you get money. help is thanked on explaining this to me. god bless.

    - Sam

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  8. http://savethemales.ca

    ReplyDelete
  9. Blah fuckling blah
    Been reading this site since 2008
    It ain't half as bad as everyone thinks it is, just like screaming "FIRE" in a crowded theatre it gets old after a while.

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  10. Wonder where Obama got his info that 80% of the people in America want tax increase and spending cuts. I for one think there should be spending cuts, but no more taxes. Nobody asked me. He is so full of shit.

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  11. Are there really people out there who really want higher tax rates imposed upon themselves?

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  12. Hell yes - warren Buffett types - they got so much gadamn moneynthey could give a shit - meanwhile; it would buy them another year or 2 of "prosperity"

    Oh Yeah !

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Everyone is encouraged to participate with civilized comments.