Creditors File Objections to Drexel Bankruptcy Plan
From Associated Press
NEW YORK —
The Internal Revenue Service, along with other creditors, filed objections Wednesday to a bankruptcy reorganization plan by Drexel Burnham Lambert Inc., the once-powerful Wall Street investment bank.
The objections came a week before a confirmation hearing on the reorganization plan in federal bankruptcy court, where Drexel has languished for more than two years.
The IRS said in court papers that the plan isn’t feasible because it won’t guarantee that the tax authority will receive $107 million agreed to in an outline of a settlement with Drexel last year.
Other objectors to the reorganization plan included local and state collectors.
