Former Minnesota auto magnate Denny Hecker won’t be getting any relief from his $80 million debt to Chrysler Financial. Hecker stood up and cursed in court Wednesday after U.S. Bankruptcy Judge Robert Kressel refused to forgive the debt. It means Chrysler can claim any future earnings by Hecker. Kressel says that as he reviewed incomplete evidence from Hecker, it became clear Hecker “just lied.”
Posts on ‘February 18th, 2010’
Are Citizens Uniting Against ‘Citizens United’?
Critics of the Supreme Court’s January ruling in Citizens United v. FEC are pointing happily to a Washington Post poll released Wednesday that indicates widespread public opposition to the decision and its green light for more corporate and union expenditures in election campaigns. More than three-fourths of Republicans and Democrats alike voiced criticism of the ruling, according to the poll. In addition, 72 percent of respondents favor action by Congress to curb the effect of the ruling.
N.Y. City Bar Urges Limiting Personal Data in Civil Filings
Citing the increasing availability of court documents online, the New York City Bar is urging the courts to adopt a statewide rule to sharply curtail the inclusion of sensitive personal information in civil court filings. The proposal would omit or redact nine categories of data.
Inside Lyondell Bankruptcy’s Texas-Sized Legal Bills
Houston-based Lyondell Chemical is hoping that its yearlong Chapter 11 case is nearly over, after reaching a $450 million settlement with creditors this week. The Am Law Daily did some docket-digging to gauge law firm profits stemming from the pharmaceutical giant’s bankruptcy court odyssey. So far, Cadwalader has secured itself the biggest slice of the pie.
Accounting Firm Tied to Rothstein Slams Suit as Smear Campaign
The accounting firm linked to jailed former attorney Scott Rothstein claims it’s a victim of a smear campaign, it never audited Rothstein and has no liability in the $1.2 billion fraud for which he faces federal prison. But if recent history is any measure, Berenfeld Spritzer Schecter & Sheer could have plenty to worry about. Accounting firms, no matter how small, that performed work for what have turned out to be big-time Ponzi schemes are considered prime targets by victims and creditors as insured deep pockets.
BofA Counsel’s Firing Not Caused by Merger Advice, SEC Says
In its ongoing battle to win court approval of a settlement with the
Bank of America, the SEC insisted Wednesday that the bank’s former GC,
Timothy Mayopoulos, did not lose his job because he gave unwelcome
advice about the bank’s takeover of Merrill Lynch. Instead, the agency,
in a “supplemental statement of facts,” cited bank sources who indicated
Mayopoulos was terminated to head off the departure of BofA’s then-head
of global corporate and investment banking, who briefly served as GC
before replacing Kenneth Lewis as CEO.