Though Kevyn Orr’s bio remains up at Jones Day, the bankruptcy attorney has resigned in order to take over management of the bankrupt city of Detroit, Michigan. The 54 year old University of Michigan law graduate, who was appointed by Republican Gov. Rick Snyder, has stated he is a Democrat.
Mr. Snyder said he was recommending Kevyn D. Orr, a Washington lawyer and partner at Jones Day who has focused on restructuring businesses, to become Detroit’s first emergency manager. The governor’s recommendation all but ensures that Mr. Orr, who was part of the team that represented Chrysler in bankruptcy proceedings in 2009, will be chosen. Under state law, a board of leaders from several state departments formally hires emergency managers, and that board was preparing to meet later on Thursday.
Members of Detroit’s City Council, who are expected to lose power under a state-appointed manager, have contested the notion that the city requires an intervention and have denounced the plan as undemocratic. Earlier this week, they asked Mr. Snyder to reconsider his finding, but his announcement Thursday does not close the possibility for other avenues of appeal, including in the courts.
Mr. Orr was lauded by some observers for his long experience with financially troubled businesses, overseeing bankruptcies and guiding restructurings, as well as earlier posts at federal entities like the F.D.I.C.
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