DETROIT (AP) — A judge deciding whether Detroit can go through a multibillion-dollar makeover in bankruptcy court suddenly challenged the city's emergency manager Monday over remarks made during the summer suggesting pensions would be safe in any restructuring.
Emergency manager Kevyn Orr had told the public weeks before the July bankruptcy filing that pensions were "sacrosanct" under the Michigan Constitution. Judge Steven Rhodes interrupted friendly questioning by a city lawyer on Monday and asked Orr, "What would you say to that retiree now?"
Orr, near the end of his fourth day on the stand, answered in legal terms, saying rights to a full pension could be trumped by federal law in a bankruptcy.
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