Adelphia bankruptcy plan blocked by judge

Judge Shira
of the US District Court in Manhattan has granted a bondholder
group’s request to appeal a plan that would have allowed the once the
fifth-largest US cable television company,
Adelphia, to emerge from
bankruptcy protection.

The bondholders oppose the $15bn (£7.62bn) plan arguing it undervalues their

The judge ordered the group to post a $1.3bn (£660m) bond to help cover
losses that other creditors might suffer from a delay in the plan’s

Scheindlin wrote that the dealy ‘threatens grave harm to thousands of parties
who have been waiting for more than four years to obtain sizeable distribution’.

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