Judge rules PG&E can retain control of bankruptcy process
- Aug 16, 2019 6:11 pm GMT
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SAN FRANCISCO — Pacific Gas and Electric gets to retain control of its multibillion-dollar bankruptcy process after a judge denied requests by two groups of creditors to file their own Chapter 11 exit plan.
U.S. Bankruptcy Judge Dennis Montali ruled Friday that although the bids were tempting, opening the door for competing restructuring plans would lead to an expensive and lengthy process that will not benefit victims of recent California wildfires.
The San Francisco-based utility filed for bankruptcy in January after it said it could not afford an estimated $30 billion in liabilities from wildfires its equipment may have ignited in 2017 and 2018.
PG&E has until Sept. 26 to submit its reorganization plan.