Insolvency Alerts April 2012

Insolvency Alerts April 2012

 

April 2nd

Recently Reported Insolvency News from the American Bankruptcy Institute and other sources

AFA Foods Files for Bankruptcy Protection over “Pink Slime” Controversy
Ground beef products processor AFA Foods said that it has filed for bankruptcy protection in order to sell some or all its assets following the impact of media coverage related to boneless lean beef trimmings.

Pinnacle Airlines Files for Bankruptcy
Pinnacle Airlines Corp. said yesterday that it filed for chapter 11 protection to resolve its operational and financial difficulties and implement a turnaround plan.

Ener1 Exits Chapter 11 As Private Company; Common Stock Canceled
Ener1 Inc., a manufacturer of rechargeable car batteries, said that it emerged from chapter 11 protection as a privately held company.

Judge Tosses Boat Manufacturer American Marine’s Bankruptcy
Bankruptcy Judge Erik Kimball has dismissed the chapter 11 case of boat manufacturer American Marine Holdings LLC, saying that the receiver that put the company and its subsidiaries in bankruptcy did not have the authority to take that action.

DRI Corp. Files Bankruptcy for North American Operations, Lines Up Buyer

DRI Corp., a maker of communication and surveillance computer systems for public transportation, filed a Chapter 11 bankruptcy for its North American operations and says that it’s identified a prospective buyer for a planned auction.

In General Economic News

Follow me on Twitter @JGlucksman for daily updates on economic trends.

And Now for Something Completely Different:
Some Random Insolvency Thoughts

Report: Senior Citizens Continue to Bear Burden of Student Loans

The burden of paying for college is wreaking havoc on the finances of an unexpected demographic: senior citizens, the Washington Post reported today. New research from the Federal Reserve Bank of New York shows that Americans 60 and older still owe about $36 billion in student loans, and more than 10 percent of those loans are delinquent. As a result, consumer advocates say, it is not uncommon for Social Security checks to be garnished or for debt collectors to harass borrowers in their 80s over student loans that are decades old.

Sources report, however, that in some case the seniors are being pursued because they guaranteed student debts for their children or, in some cases, grandchildren.

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Joel Glucksman is an experienced civil and bankruptcy litigator specializing in the representation of secured lenders and other creditors in complex suits and bankruptcies. His court appearances take him throughout the State and Federal courts in the metropolitan area, focusing in particular on the Bankruptcy Courts for the District of New Jersey and the Southern and Eastern Districts of New York. For more information, please visit Joel Glucksman's full biography at Scarinci Hollenbeck

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