Bankruptcy

Opponents seeking to overturn the way Texas finances its public schools said Monday the current funding mechanism is inequitable and inadequate.

If either of the judges overseeing bankruptcy cases for two California cities allows CalPERS, the state's pension system, to be included on a list of creditors it could encourage other cities to declare bankruptcy.

The second scheduled auction of property belonging to Curt Schilling's failed video-game company 38 Studios will be held in Providence Tuesday.

The sudden breakup of hospital operator West Penn Allegheny's affiliation with insurer Highmark heightens uncertainty over hundreds of millions in bonds in a turnabout driven by adulterous sex and violence.

Walter Timpone, the defense attorney for one of the three convicted former banking executives in the muni bond bid-rigging trial is confident about an appeal.

No one can be certain, at this point, if more distressed cities in California will follow the path of Stockton, San Bernardino and Mammoth Falls, and file bankruptcy.

After hearing tearful requests for leniency, federal Judge Harold Baer imposed prison and fines on three former bankers convicted of municipal bond bid rigging.

Lehman Brothers Special Financing Inc. claims the trustee for Jefferson County, Ala.'s $3.2 billion of defaulted sewer warrants is improperly withholding its swap payments.

Concerns about bankruptcies in California and their impact on the municipal market are still front and center for investors in the Golden State though market participants don't expect a large number of new Chapter 9 filings.

A lawsuit was filed contending that public school districts in Georgia improperly used taxpayers' money to finance a campaign against a charter school ballot measure.

West Penn Allegheny Health System countersued crosstown Pittsburgh insurer Highmark Inc. over the breakup of their proposed $475 million affiliation agreement.

The Financial Industry Regulatory Authority has ordered seven firms to pay more than $260,000 in fines and restitution to customers for violations of trade reporting and other municipal securities rules.

A U.S. Securities and Exchange Commission "informal inquiry" of San Bernardino, California's finances requires the bankrupt city to preserve bond documents and communications with underwriters.

Insurer Highmark, which sued West Penn Allegheny Health System over their canceled $475 million agreement, announced a $65 million affiliation deal with Saint Vincent of Erie, Pa.

Moody's said Monday it is continuing its review for possible downgrade on Detroit amid uncertainty surrounding the future of the state's emergency management law.

Potential liabilities from the Jerry Sandusky child molestations prompted Standard & Poor's to revise its outlook to negative on Penn State's long-term bond rating.

Acting on an emergency basis, the City Council in cash-strapped Scranton, Pa., adopted a 1% commuter tax, which still needs approval from a Lackawanna County Court.

In a cross appeal brief this week, Jefferson County, Ala., argues that the bankruptcy judge erred when he allowed sewer warrant holders to be paid with the Chapter 9 case pending.

Moody's hit 54 California city ratings with downgrades or downgrade reviews after a sector review launched after three California cities filed for bankruptcy.

BRADENTON, Fla. — Jefferson County, Ala., said Monday that the Internal Revenue Service is examining $82.5 million of outstanding lease revenue warrants issued in 2006.