People's Choice seeks two-month exclusivity extension to avoid distraction of 'rogue' plans

By Caroline Salls

Pittsburgh, July 18 - People's Choice Home Loan Inc. requested an extension to its exclusive periods to file a plan of reorganization and solicit votes on the plan, according to a Wednesday filing with the U.S. Bankruptcy Court for the Central District of California.

The company wants to extend its exclusive plan-filing period to Sept. 28 from July 18 and the solicitation period to Nov. 20 from Sept. 16.

According to the motion, the company and its official committee of unsecured creditors would both be allowed to file a plan under the proposed exclusivity extension, and the company expects to file a joint liquidation plan with the committee.

People's Choice said it needs the extra time to progress with its liquidation strategy, and it believes no one but the company or the committee could file a viable plan for this case.

"Any rogue plan would likely only waste valuable resources better spent bringing this case to a conclusion," People's Choice said in the motion.

A hearing is scheduled for Sept. 11.

People's Choice, an Irvine, Calif., non-prime mortgage lender, filed for bankruptcy on March 20. Its Chapter 11 case number is 07-10765.

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