Detroit Retirees Sue City to Stop Pension Cuts, And Request to Have PA 436 Repealed

[313WX]

The best possible result would be no EFM and no bankruptcy. Then the city can just run out of money and let the real chips fall where they may when the checks bounce.

That will work too. Whatever it takes to end the city vs. suburb, state vs. city, us. vs. them crap and realize that as Detroit goes, so does the state. It may just take bankruptcy for that to happen.

The fact that everyone outside of the city across the state was perfectly ok with what Snyder was doing with the city when they thought it simply meant more cuts to services or tax raises for the citizens [[without shared sacrifice) shows how "good" of a "partner" they were as well.

[corktownyuppie]

The fact that everyone outside of the city across the state was perfectly ok with what Snyder was doing with the city when they thought it simply meant more cuts to services or tax raises for the citizens [[without shared sacrifice) shows how "good" of a "partner" they were as well.

I think that may be an overstatement. My impression with people in the suburbs was not that the EM was going to further cut services. Yes perhaps some whacko hard liners on the right, but most people I know saw this as a bank restructuring...which is why I couldn't understand why people kept crying that the EM is here to screw The People while giving the bank all their money. I hope -- if nothing else -- that it can now be settled that those notions did not turn out to be true.

What is interesting is that not a single party, including the bankers/banksters and pensioners, has contested the fact that Detroit is insolvent. All of the lawsuits from both the unions and the bond insurers are not disputing solvency, rather they are fighting the order of priority in getting funds.

"Yes, judge, we accept that further cuts cannot be made, but clearly we are first in line with whatever money is left," said every creditor in existence.

[313WX]

I think that may be an overstatement. My impression with people in the suburbs was not that the EM was going to further cut services. Yes perhaps some whacko hard liners on the right, but most people I know saw this as a bank restructuring...which is why I couldn't understand why people kept crying that the EM is here to screw The People while giving the bank all their money. I hope -- if nothing else -- that it can now be settled that those notions did not turn out to be true.

What is interesting is that not a single party, including the bankers/banksters and pensioners, has contested the fact that Detroit is insolvent. All of the lawsuits from both the unions and the bond insurers are not disputing solvency, rather they are fighting the order of priority in getting funds.

"Yes, judge, we accept that further cuts cannot be made, but clearly we are first in line with whatever money is left," said every creditor in existence.

Here's the thing.

Any bank restructuring, especially outside of bankruptcy, will include bringing assets such as the DIA art collection to the table, as well as Pensions of retired workers who now live in West Bloomfield. To sue the city because it wants to cut the pensions or pass legislation to prevent the city from leveraging its art collection comes across as two-faced. Essentially, that's trying to have your cake and let it too.