Bankruptcy’s Bill: Topping $126 million … so far

Bankruptcy’s Bill: Topping $126 million … so far

The Wall Street Journal reviewed a recent city spreadsheet and other documents to total the cost of the Detroit bankruptcy for the city.

The tally: $126 million and counting.

That includes $47 million to the Jones Day law firm, which so far during the trial alone has had seven attorneys argue in court with more present in the courtroom.

WSJ writes:

The cost is surpassing such corporate bankruptcy filings as General Motors Corp., which came in around $110 million, and Chrysler at around $77 million. Still, Detroit is unlikely to set any records. Bankruptcy fees for the U.S. administration of Lehman Brothers Holdings Inc., for example, surpassed $2.2 billion.

Some information about the bankruptcy’s cost is available online. Emergency Manager Kevyn Orr’s bankruptcy page on the city website has links to the Fee Examiner reports. (The Fee Examiner, who is appointed by the court, reviews billings for professional fees and submits to the judge a critique of the reasonableness of them). The last available, filed in the court docket last month, covers fees only through March.