OSG Group’s Proposed Bankruptcy Timeline Too Fast, DOJ Says

OSG Group Holdings Inc. is seeking bankruptcy court approval of its pre-negotiated plan to restructure $824 million of debt without giving creditors and stakeholders adequate time to review the proposal, the Justice Department said.

The New Jersey-based firm, which provides various billing and communications services to businesses, filed for Chapter 11 relief over the weekend with a creditor-supported plan to reduce its debt by $134 million and inject $70 million of fresh capital into the company. As part of its initial requests for relief in bankruptcy court, OSG asked to have a hearing to approve its Chapter 11 plan and ...