Detroit's Bankruptcy Trial Kicks Off

Judge to determine whether reorganization plan will work


The city's historic bankruptcy trial began in earnest Tuesday with a judge tasked with considering a mountain of evidence and witness testimony to determine whether the city's sweeping restructuring plan is fair and feasible.

The proceeding — officially called a plan confirmation hearing — will feature an exhaustive examination of Detroit emergency manager Kevyn Orr's sweeping plan to slash more than $7 billion in liabilities and reinvest $1.4 billion over 10 years to improve services.

Tuesday's hearing began with arguments over whether certain testimony is allowable. Then, the trial officially begins with opening arguments from the city and creditors.