Detroit's Water Shutoff Can Continue, Says Judge

Lacks jurisdiction to stop it.

U.S. Bankruptcy Judge Steven Rhodes ruled on Monday that Detroit can continue shutting off water service to non-paying customers, saying his court does not have jurisdiction over the issue and that suspending disconnections for six months could hurt the city's finances.

"Detroit cannot afford any revenue slippages," the judge said, before resuming his ongoing hearing on Detroit's plan to exit the biggest-ever municipal bankruptcy.

"As it prepares to show the court its plan is feasible… the last thing it needs is this hit to its revenues," he said, adding there was a strong correlation between disconnections and the city's collections of delinquent bills.