Puerto Rico Bankruptcy Law Needs Revision, Rossello Adviser Says

A Puerto Rican real-estate investor and informal adviser to the governor said Oct. 2 that Congress should revisit the law that allowed the U.S. commonwealth to enter a form of bankruptcy.

Nick Prouty questioned how willing taxpayers will be to rebuild infrastructure that could soon be owned by creditors, as the island’s finances are reordered through the law known as Promesa.

“Promesa is absolutely needed in order to provide an orderly mechanism to restructure, but I do not believe the American taxpayer will cotton to the concept that their hard earned tax dollars should be used as primary collateral to ...