Bankruptcy Law News

Judge Should Reject Puerto Rico Utility Deal, Key Lawmaker Says

May 9, 2019, 8:01 PM

The bankruptcy judge overseeing Puerto Rico’s record restructuring should reject a tentative deal to reduce the debt of the island’s electric utility, U.S. Representative Raul Grijalva said May 9.

“This deal will sentence ratepayers to decades of unsustainable debt payments and prevent them reaching their goals of more renewable and affordable energy,” Grijalva, said in a statement. “It’s a win for hedge funds and another loss for the people of Puerto Rico.”

Grijalva chairs the House Natural Resources Committee, which oversees legislation regarding Puerto Rico

Puerto Rico’s Electric Power Authority, called Prepa, a group of bondholders and Assured Guaranty Corp....

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