MENU

      Detroit becomes largest U.S. city to file for bankruptcy

      Detroit becomes the largest city in U.S. to file for bankruptcy.




      DETROIT



      (AP) - Detroit
      has become the largest city in U.S. history to file for bankruptcy


      .



      State-appointed emergency manager Kevyn Orr on Thursday asked a federal judge permission to place the city into Chapter 9
      bankruptcy protection.



      If approved, the filing would allow Orr to liquidate city assets to satisfy a host of creditors and city pensioners lined up to recoup losses from bad bond investments and unpaid contracts.



      A number of factors - most notably steep population and tax base falls - have been blamed on
      Detroit's tumble toward insolvency.



      Detroit


      lost a quarter-million residents between 2000 and 2010.



      Orr was unable to convince enough creditors, bondholders and employee pension representatives to accept pennies on the dollar as he attempted a fiscal restructuring of
      Detroit.



      (The Associated Press contributed to this article.)

      component-story-more_media_horiz-v1-01
      FOLLOW US ON TWITTER