New Century creditors seek $34.9 billion

Irvine-based New Century Financial Corp., the biggest sub-prime lender in bankruptcy, faces $34.9 billion in claims from its creditors, the company said in court papers.

The defunct mortgage company asked U.S. Bankruptcy Court Judge Kevin Carey, who is overseeing New Century’s liquidation in Wilmington, Del., for more time to devise a plan to pay the claims, some of which are likely to be challenged by the company as invalid.

Sorting out the claims “has been an intense and time-consuming process,” the company said in papers filed Wednesday.

Since filing for bankruptcy protection from creditors in April, New Century has raised at least $274 million to repay its debt by selling assets under court supervision.

When it filed for bankruptcy, the company said its largest creditors included Wall Street firms Morgan Stanley, Goldman Sachs Group Inc. and Credit Suisse Group.