New Century gets financing approved
Bankruptcy
New Century Financial Corp. (NEWC.PK: Quote, Profile, Research), the largest U.S. subprime lender now under bankruptcy protection, was authorized on Thursday to obtain up to $150 million of financing to keep operating under Chapter 11.
The package, which was announced Monday as the company announced its bankruptcy filing, includes up to $150 million of debtor-in-possession financing from The CIT Group and Greenwich Capital Financial Products Inc.
According to the Associated Press, U.S. Bankruptcy Judge Kevin Carey said he would agree to the interim financing. Carey earlier granted the lender interim authority to pay "its utility bills, remaining employees and other necessary expenses until the company's assets can be sold next month" the AP reported.
The Irvine, California-based company collapsed amid rising delinquencies and defaults, a federal criminal investigation into its accounting and trading in its securities, and orders by or agreements with at least 17 U.S. states to stop lending.
New Century has said it agreed to sell its loan servicing unit to hedge fund Carrington Capital Management LLC for $139 million, and some loans to Greenwich Capital for $50 million.
Related listings
-
S. Carolina lawmakers look at the most restrictive abortion bill in the US
Bankruptcy 11/19/2025A bill that would allow judges to sentence women who get abortions to decades in prison and could restrict the use of IUDs and in vitro fertilization goes before a small group of South Carolina senators Tuesday.This would be the first of at least a h...
-
California voters take up Prop 50, a Democratic push for more US House seats
Bankruptcy 11/03/2025The national battle to control the U.S. House shifts to California on Tuesday as voters consider a Democratic proposal that could erase as many as five Republican districts and blunt President Donald Trump’s moves to safeguard his party’s...
-
Labor Law Attorneys in Queens, NY - Seo Law Group, PLLC
Bankruptcy 06/15/2025Experienced Advocates in Labor and Employment Law With years of experience representing both employees and employers, our firm has developed a comprehensive understanding of the legal challenges that arise in today’s workplaces. Our labor and e...
Is Now the Time to Really Call a Special Education Lawyer?
IDEA, FAPE, CHILD FIND and IEPs: The Individuals with Disabilities Education Act (IDEA) guarantees all children with disabilities to a free appropriate public education (FAPE). FAPE starts with a school’s responsibility to identify that a child has a disability (Child Find) and create an Individualized Education Program (IEP) to suit the needs of the child.
Forte Law Group is one of only a very few law firms within the state of Connecticut that is dedicated to exclusively representing families and children with special needs.
Parents need to be persistent, dedicated and above all else aware of the many services and accommodations that their child is entitled to under the law. As early as this point within your child’s special education, many parents will often find themselves in the situation asking, “is now the time to really call a special education lawyer?” Here are a few things to consider when asking yourself that question.