Judge set to rule on how Calpers 'fits' in Stockton bankruptcy

Reuters News
Posted: Oct 01, 2014 3:39 PM

SACRAMENTO Calif. (Reuters) - The judge overseeing Stockton, California's municipal bankruptcy trial on Wednesday said he will make a determination later on Wednesday about the role of the state's huge retirement fund, Calpers, in the case.

U.S. Bankruptcy Judge Christopher Klein has wrestled throughout the trial with the question of whether to confirm the cash-strapped city's restructuring plan without imposing payment reductions to Calpers, the California Public Employees' Retirement System, as well as other creditors slated to take a haircut.

Klein adjourned the proceedings for lunch, saying when he reconvenes he would "make a determination about Calpers and how it fits, then focus on the nitty gritty confirmation questions."

Stop This Idiocy And Confirm Him
Kurt Schlichter

(Reporting by Robin Respaut; Writing By Dan Burns; Editing by Meredith Mazzilli)