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Motion to dismiss Fund’s bankruptcy will also be heard at next hearing
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Posted on Apr 27 2012
The lawyers for two unnamed retirees or creditors last Thursday filed a notice of a hearing on their motion to dismiss the NMI Retirement Fund’s Chapter 11 bankruptcy petition.
Attorneys Bruce Jorgensen and Stephen Woodruff, counsel for the unnamed retirees or creditors, said the hearing of their motion will be on May 31 at 1:30pm in the U.S. District Court for the NMI (Hawaii time) or June 1 at 9:30am Saipan time.
Jorgensen said U.S. Bankruptcy Court for the District of Hawaii Chief Bankruptcy Judge Robert J. Faris will be conducting the hearing.
Last April 20, Faris set another hearing in the Fund’s bankruptcy case for the same schedule.
Atty. Margery Bronster, another counsel for the unnamed retirees or creditors, informed the court last April 20 about their motion to dismiss the bankruptcy petition.
In their pleadings, Bronster said the Fund is a “governmental unit” and an agency of the Commonwealth” and, therefore is not a “person” eligible to file such a petition under the Bankruptcy Code.
Consequently, Bronster said, the Fund’s Chapter 11 petition must be dismissed.
The Fund counsel told the court that the intent of filing the Chapter 11 bankruptcy petition is to restructure the Fund’s obligation and not to shutdown.
