Abayomi Azikiwe, editor of the Pan-African News Wire, has written extensively on the economic crisis in Detroit. He is now covering the bankruptcy hearings downtown., a photo by Pan-African News Wire File Photos on Flickr.
Media Advisory
Monday January 20, 2014
Abayomi Azikiwe, PANW Editor, Featured on Leid Stories for Friday January 17, 2014
To listen to this program featuring Abayomi Azikiwe, editor of the Pan-African News Wire, just click on the website below:
http://prn.fm/leid-stories-011714/
A ruling by Federal Judge Steven Rhodes denying a motion to pay off an interest rate swap deal represented the first significant legal victory in the struggle against emergency management and imposed bankruptcy in Detroit. This arrangement spearheaded by the banks and pushed forward by Emergency Manager Kevyn Orr at the aegis of Gov. Snyder, could not under the objectors' arguments provide justification for the payment to Bank of America and UBS another $165 million dollars.
These issues have been discussed by the Moratorium NOW! Coalition for months since the appointment of Orr by Snyder and even prior to this pointing out the financial institutions are the source of the crisis in the City of Detroit.
Detroit had already paid $300 million into this deal which originated in 2005 and was revised and extended in 2009. The initial proposal that went for a special trial to terminate the agreement would have given Bank of America and UBS another $280 million. The deal was to be facilitated by Barclays for a sum of $4.4 million in fees.
The trial on the swap which began on December 17 was halted the following day, December 18, when Atty. Jerome Goldberg questioned Kenneth Buckfire on the role of these banks in the destabilization of the city. Rhodes ordered the EM to go and negotiate a better deal. A second one was approved and brought back on January 13.
After closing arguments by objectors Rhodes issued his ruling on January 16 striking down the deal and saying that the City would be within its right to file suit against Bank of America and UBS.
These and other issues have been discussed for several months over prn.fm through Leid Stories.
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