New York Bankruptcy Judge Prudence Carter Beatty — who is overseeing the Delta Airlines chapter 11 case — is apparently somewhat of a live-wire on the bench. The airline pilots union has already asked her to recuse herself over remarks she made from the bench regarding the pilots’ compensation, and this Wall Street Journal ($) article reports on several barbs that the judge has tossed from the bench during hearings in the Delta chapter 11 case, including the following:
Yesterday, when Delta’s labor attorney asked the company’s chief financial officer, on the witness stand, what Delta did when it found itself falling behind in meeting financial targets, the judge interjected, “They did what everyone else did: engage in creative accounting.” Amid laughter, the judge continued, “It’s what Enron did, what WorldCom did.” The executive replied, “That’s absolutely not the case.”
This is really troubling, especially considering that this judge likely has no more knowledge of accounting than anyone else. She wouldn’t know a debit from a hole in the ground, yet she says “everyone” uses “creative accounting?”
Scary.
Perhaps what this judge said about some things are correct. Some other stuff?
I wont comment about accounting at Delta, but reading about the comments this judge has made about pilots…I’m not impressed. Its a dangerious job, one mistake, its all over. Not just the pilots, hundreds behind them.
What is the judges desired outcome of all of this? Lets Burn Delta?
“Somebody once told me, if your not part of the solution, your part of the problem”
Weekly Blog Roundup on Bankruptcy-Related Topics for the Week Ended 11/25/05
Below are notable blog posts on the following topical bankruptcy issues of interest to the bankruptcy litigator and practitioner for the week ending 11/25/05. *** Judge Alito’s Bankruptcy Jurisprudence The Portland Archdiocese Disclosure Statement Fili…