Archdiocese gets more time to file Reorganization plan

| April 10, 2015 | 0 Comments

The Archdiocese of St. Paul and Minneapolis was granted an extension April 9 to file its Reorganization plan. U.S. Bankruptcy Judge Robert Kressel, who is overseeing the archdiocese’s Reorganization process, moved the deadline from May 16 to Nov. 30.

Under the U.S. bankruptcy code, after petitioning Jan. 16 for Chapter 11 Reorganization, the archdiocese had 120 days in which to file a Reorganization plan, and an additional 60 days where it alone could solicit acceptance of a filed plan. After that window of time, other parties, including creditors, would have been able to file plans.

Also approved at the hearing was a request from the archdiocese to have more time to affirm its lease agreement with the St. Paul Seminary for the Byrne Residence, a home for retired priests adjacent to the seminary along Mississippi Boulevard. Reorganization requires the archdiocese to affirm or reject all current leases and, because of the complexity of this lease, the archdiocese asked and received more time to affirm it.

In another motion, the archdiocese was denied a request to pay its legal counsel and other professional fees every 60 days. The judge will require that fees be submitted on a 120-day basis.

Category: Local News