Suntech Power Holdings, which is a Chinese-owned company that is registered in the Cayman Islands, was placed in involuntary Chapter 7 bankruptcy after U.S. investors petitioned the southern district court of New York. The petition came as a result of unpaid convertible notes amounting to $1.6 million. The notes were due the end of 2013 and remained unpaid. This prompted the U.S. investors to file the bankruptcy petition. However, recent negotiations with the note holders resulted in an announcement Friday that Suntech will be dismissing the Chapter 7 filing. Instead, they will be filing Chapter 15 bankruptcy in the company’s Caribbean base. This will allow the company to remain in business while proceeding with liquidation and restructuring as regulated in the U.S. bankruptcy code. If Suntech does not file for Chapter 15 by the allotted time, which is Feb. 25, the agreement will be void. The Chapter 15 filing will result in recognition of the restructuring in the Cayman Islands to be entered into the U.S. Bankruptcy Court. The deadline for that recognition to be filed in the U.S. Bankruptcy Court is May 31, with a Dec. 31 approval date. Bankruptcy attorneys in New York can tell you that Chapter… Continue reading
City Opera in New York may have shuttered its operations for the season, but that has not stopped the group from celebrating its 70th anniversary. The opera company was forced to declare bankruptcy, canceling its entire season. A special performance will be held in honor of the company’s seven-decade presence in New York City, however. City Opera has declared Chapter 11 bankruptcy and will likely liquidate the business. Despite the financial troubles, members of the “City Opera Family” said they could not allow the anniversary to pass unrecognized. The event is being staged by the performers’ union that represents entertainers, American Federation of Musician’s Local 802. The concert is scheduled to occur on Feb. 21 at the City Center, which has historical significance as the first location of a City Opera performance. Although this is the only reunion concert currently scheduled, representatives have said that the performers may consider similar shows in the future. In the mean time, New York City Opera is working through court proceedings related to its thrift shop that is operated in Midtown Manhattan. That shop has been open for 25 years. The court may grant the company additional time to decide whether to reject the… Continue reading
Buying items or spending money on credit means you are making an obligation to pay for those items at a later date. Add in medical bills, student loan payments, and other regular bills and you might have more money going out of your home than coming into it. When you have to spend more than you make, keeping up with payments isn’t likely. There are some instances in which you might be able to afford the payments when you get the item, but later in time, making those payments gets overwhelming. In these cases, filing for bankruptcy might give you the fresh start you need to get back on track financially. In New York, the number of people who are seeking bankruptcy protection has gone down recently. There were 134 Rochester-area filings for bankruptcy, which includes filings in Monroe, Ontario, Wayne, Livingston, Yates, Chemung, Seneca, Schuyler, and Steuben counties, in January of this year. Last January, there were 179 petitions for bankruptcy. That is a 25.1 percent drop from last year. These filings include Chapter 11 business filings, which are petitions to reorganize. Chapter 7 liquidation bankruptcies and Chapter 13 debt reorganization filings are also included in this number. It… Continue reading
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