October 12, 2011

Harrisburg, PA files bankruptcy

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Seeking to stave off a state takeover of its beleaguered budget, the city of Harrisburg, Pa., authorized filing for a rare municipal bankruptcy late Tuesday.


Harrisburg, the Pennsylvania capital that previously defaulted on its debt, cited a “continued erosion of its finances,” in the resolution approving the filing.
According to Bloomberg News, Pennsylvania lawyer Mark Schwartz filed Chapter 9 bankruptcy protection documents by fax late Tuesday in federal bankruptcy court. Schwartz didn’t immediately respond to a request for comment. An official at the U.S. Bankruptcy Court for the Middle District of Pennsylvania said the court had not yet received a physical copy of the filing, which is required

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