The Daily Docket: Caesars Restructuring Hits a Snag

Category: Bankruptcy Law Published: Friday, 30 January 2015 Written by Admin

Caesars Entertainment Corp . may have violated federal law when it shuffled its casino assets, said a federal judge in a ruling that could complicate the casino company's efforts to unload $18.4 billion in debts in a bankruptcy restructuring of its largest unit, The Wall Street Journal reports.

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Two bidders hoping to revive the bankrupt New York City Opera are preparing to square off in court next week at an auction for the opera company's name and assets, WSJ reports.

Hit hard after the Swiss National Bank decided to remove the cap on its currency, FXCM Inc. will receive a $300 million rescue package from holding company for investment bank Jefferies Group LLC that will allow it to meet its regulatory capital requirements, WSJ reports.

Goldman's embrace of Espírito Santo has come back to haunt the Wall Street giant. Weeks after Goldman Sachs Group Inc. arranged an $835 million loan to Banco Espírito Santo SA, Banco Espírito Santo collapsed amid allegations of fraud. Now, Goldman is in an unusual public fight with Portugal's central bank, which bailed out Espírito Santo, over whether the loan should be fully repaid, WSJ reports.

A federal judge encouraged representatives from shuttered Bucksport paper mill owner Verso, buyer American Iron amp; Metal, the workers, potential buyers and the governor's office "to sit down in a room together" and "work something out," The Bangor Daily News reports.

Police on Monday were trying to find the thieves who stole seven gas pumps from several shuttered service stations that were owned by a Long Island man who filed for bankruptcy, CBS New York reports.

The Jones Day law firmlead counsel for the city of Detroit in its historic bankruptcy caseagreed to cut $17.7 million from its legal bills to the city, The Detroit Free Press reports.

The Archdiocese of St. Paul and Minneapolis has become the 12th US Roman Catholic diocese to seek bankruptcy protection in the face of sexual-abuse claims against its clergy, WSJ reports.

Why was Wet Seal's announcement that it was closing more than half its stores an obvious signal that it was about to file for bankruptcy? Professor Stephen Lubben explains on The New York Times ' Dealbook why 2005 amendments to the US Bankruptcy Code means that a bankrupt company has to enter Chapter 11 knowing which stores it wants to keep and which ones it wants to close.

A University of Maryland professor explains why the US Bankruptcy Code isn't working for small businesses and how a panel of experts proposed to fix that, via The New York Times' Dealbook.

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