GM’s unwanted businesses in bankruptcy won conditional court approval

Article by Christian A., on October 21, 2010

General Motors Corp.'s bankruptcy estate is awaiting the court’s approval of a settlement that would set aside $773 million to resolve environmental claims by the federal government and 14 states.

In a statement, Gary Grindler, acting deputy attorney general, said that a combination of cash and assets, placed in trusts, would clean up and administer 89 properties, 59 of which have been contaminated.

Before the bankruptcy court will decide on GM’s request, there will be a 30-day period to gather public comment.

Grindler said that over half of the money will go to sites in New York and Michigan. The St. Regis Mohawk Tribe, the US Environmental Protection Agency and the states are part of the settlement. The tribe has not yet moved to accept the proposal. A public hearing had been set for Wednesday night.

This deal will lead to the company’s unwanted business to wind down in bankruptcy before a hearing on Thursday at which the Old GM estate will ask the court to approve the terms of its liquidation.

In June 2009 when GM filed for bankruptcy, it sold attractive assets to a recently formed company. However, it left 89 properties under bankruptcy protection. These are the properties at issue now in this settlement. [via BusinessWeek]

Topics: gm, bankruptcy

If you liked the article, share on:

Comments

Recommended

One of the main features that have appealed to Cadillac’s customers is its Cadillac User Experience system or CUE. This is once again expected to change as the brand recently...
by - February 22, 2017
Ever since the Regera premiered in 2016, Koenigsegg has been firm about increasing its coverage around the globe. Part of the idea was to ask its employees in Angelholm to...
by - February 21, 2017
There is no harm in admitting that both the conventional and the hybrid versions of the Lexus LC 500 are real stunners when it comes to its exterior styling. Even...
by - February 21, 2017
Jaguar is placing three new Ingenium engines on the F-Pace crossover, XF saloon and XE sedan for the 2018 model year. According to Jaguar’s recent announcement, the updates will also...
by - February 21, 2017
After Volkswagen snagged Toyota’s crown as the world’s best-selling automaker, there’s no stopping the Japanese manufacturer from dominating the hybrid arena. As of January 31st , Toyota’s increasing global unit...
by - February 21, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries