Puerto Rico Hearings Start With $1 Billion Bankruptcy Fees (1)

Puerto Rico is making its case in bankruptcy court for a plan to slash billions of dollars in debt, an expensive process that has so far racked up nearly $1 billion in legal and professional fees that island residents will pay.

Hurricanes, earthquakes, ousting a governor from office and the coronavirus pandemic have prolonged the commonwealth’s bankruptcy to more than four years, adding to its costs and keeping the island under a cloud of default.

Now that may finally change as U.S. District Court Judge Laura Taylor Swain began confirmation hearings Monday on Puerto Rico’s debt restructuring plan that eases ...