Lyondell committee eyes expansion of scope of examiner investigation

By Caroline Salls

Pittsburgh, Dec. 23 - Lyondell Chemical Co.'s official committee of unsecured creditors is asking the U.S. Bankruptcy Court for the Southern District of New York to expand the scope of the Chapter 11 examiner's investigation, according to a Wednesday court filing.

The committee said the scope of the investigation should be expanded to ensure fair treatment of investment proposals from strategic investors such as Reliance Industries Ltd.

In addition, the creditors said the examiner should investigate the facts and circumstances surrounding the debtor-in-possession financing order approving adequate protection payments for first-lien lenders.

The committee said the first-lien lenders are under-secured and not entitled to the payments under bankruptcy law.

A hearing is scheduled for Jan. 12.

Lyondell is a U.S. subsidiary of LyondellBasell Industries AF SCA, a Netherlands-based polymer, petrochemicals and fuels company. LyondellBasell's U.S. operations and one of its European holding companies filed for bankruptcy on Jan. 6, 2009. The Chapter 11 case number is 09-10023.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.