CHICAGO -- The Michigan Court of Appeals Tuesday granted state Attorney General Bill Schuette’s request to block a circuit court judge’s order that Detroit withdraw its bankruptcy petition.
Ingham County Circuit Court Judge Rosemarie Aquilina on Friday, a day after the city filed its Chapter 9 petition, ordered the petition withdrawn on the grounds that it was unconstitutional because it would impair worker benefits.
Schuette in response asked the three-judge appeals court for an expedited consideration of his motion for a stay in the case.
The appeals court Tuesday granted Schuette’s motion.
It also agreed to Schuette’s request for immediate consideration of three lawsuits filed by the city’s two pension funds and retirees that seek to block the city’s bankruptcy.
The appeals ruling marks second victory for state and Detroit emergency manager Kevyn Orr this week. On Monday, the federal bankruptcy judge overseeing the case approved Orr’s request for a fast-track hearing to stay all lawsuits tied to the case. The hearing is set for Wednesday.