Detroit bankruptcy judge opens court to critics - Fox 2 News Headlines

Detroit bankruptcy judge opens court to critics

Posted: Updated:
 DETROIT (AP) -- A judge overseeing Detroit's bankruptcy gave the microphone Tuesday to residents and retirees who oppose the city's proposal to cut pensions and other benefits as part of a plan to get solvent again.
 
Hundreds of people have filed objections to Detroit's bankruptcy exit strategy. About 80 were given five minutes each to speak to Judge Steven Rhodes during morning and afternoon sessions, although many didn't show.
 
"I never thought I would be struggling to get health care," retired bus driver Jesse Florence Sr. told the judge. "This is devastating. We have other obligations."
 
Another critic, Jo Ann Cooper, expressed doubts about the bankruptcy process.

 "I do not believe the city of Detroit is broke," she told the judge. "I have no proof of it. There have been a lot of lies over the years."

Detroit filed for bankruptcy a year ago, citing debt of about $18 billion. A so-called "grand bargain" involving the state, a group of private foundations and the Detroit Institute of Arts have pledged more than $800 million to ease the pension cuts while protecting city-owned art from being sold. 

Rhodes will hold a trial on Detroit's plan to get out of bankruptcy, starting Aug. 14. He must find that the exit plan is fair and feasible, among other things, in order for the city to shed billions of dollars in debt.

"Your input is extremely important in this process," Rhodes told the crowd.
 
Last Friday was the deadline for creditors to vote, including roughly 30,000 retirees and current and former workers. General retirees would see a 4.5 percent pension cut while retired police officers and firefighters would lose a portion of their annual cost-of-living adjustment. Detroit's two pension funds urged a "yes" vote.
 
The results will be announced Monday.
 
"We are hoping at the end of this process to provide better services in a revitalized city," Detroit bankruptcy attorney Heather Lennox told Rhodes.

  • Local NewsLocal NewsMore>>

  • Family asks for justice after mother of three found dead next to dumpster

    Family asks for justice after mother of three found dead next to dumpster

    Wednesday, July 30 2014 11:09 PM EDT2014-07-31 03:09:47 GMT
    When 32-year-old Katherine Gibson was a little girl, her loved ones thought, the "life" ahead of her would be long. But it wasn't."Me and my girlfriend dropped her off and she had just told us, she loved us," said Marvin Gibson, her cousin.That would be the last "I love you" that he would hear. because after Gibson's cousin dropped her off at Harper and Conner, near Bronco's Market. The day after, she was found dead. Gibson's lifeless body, discovered by a dumpster, beside the building."Layin...
    When 32-year-old Katherine Gibson was a little girl, her loved ones thought, the "life" ahead of her would be long. But it wasn't."Me and my girlfriend dropped her off and she had just told us, she loved us," said Marvin Gibson, her cousin.That would be the last "I love you" that he would hear. because after Gibson's cousin dropped her off at Harper and Conner, near Bronco's Market. The day after, she was found dead. Gibson's lifeless body, discovered by a dumpster, beside the building."Layin...
  • Firefighter injured battling house fire in Detroit

    Firefighter injured battling house fire in Detroit

    Wednesday, July 30 2014 11:06 PM EDT2014-07-31 03:06:52 GMT
    A possible arson kept Detroit firefighters busy for much of the evening.
    A possible arson kept Detroit firefighters busy for much of the evening.
  • Detroit councilwoman dodges questions about Facebook photo

    Detroit councilwoman dodges questions about Facebook photo

    Wednesday, July 30 2014 10:41 PM EDT2014-07-31 02:41:23 GMT
    Rayford Jackson was in the middle of one of the biggest public corruption scandals in Detroit history. He was sentenced to five years in federal prison for bribing city councilwoman Monica Conyers. Now, he's back -- and apparently hanging out with another city councilwoman. When councilwoman Mary Sheffield posted a photo of them together on her Facebook page, Fox 2's M.L. Elrick couldn't help but wonder why she'd want a picture with Jackson and then post it on social media. So, he attempted a...
    Rayford Jackson was in the middle of one of the biggest public corruption scandals in Detroit history. He was sentenced to five years in federal prison for bribing city councilwoman Monica Conyers. Now, he's back -- and apparently hanging out with another city councilwoman. When councilwoman Mary Sheffield posted a photo of them together on her Facebook page, Fox 2's M.L. Elrick couldn't help but wonder why she'd want a picture with Jackson and then post it on social media. So, he attempted a...
  • Download the FOX 2 Apps


  • FOX 2 News Five-Day Forecast
Powered by WorldNow

WJBK-TV | Fox 2
16550 West Nine Mile Rd.
Southfield, MI 48075

Main Station: (248) 557-2000
Newsroom: (248) 552-5103

Didn't find what you were looking for?
All content © Copyright 2000 - 2014 Fox Television Stations, Inc. and Worldnow. All Rights Reserved.
Privacy Policy | Terms of Service | Ad Choices