SACRAMENTO – If Stockton, Calif. is granted eligibility for bankruptcy protection, the next big fight ahead may be with its whale of a creditor, the California Public Employees’ Retirement System, the largest pension fund in the country.

One of the main arguments the so-called capital market creditors made during the three-day trial over the city’s eligibility for Chapter 9 bankruptcy, which ended Wednesday, was that Stockton never attempted to seek concessions from CalPERS.

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