Regent Trustee Files Objection to Reorganization Plan

RADIO ONLINE | , , | :am CT

Acting U.S. trustee Roberta DeAngelis, who is overseeing Regent Communications' chapter 11 bankruptcy proceeding, filed an objection to the broadcaster's reorganization plan last week. She based her objection after Regent's request to bypass a shareholders vote on the plan. However, the judge in the case ruled in Regent's favor and set a April 9 confirmation hearing.

DeAngelis was concerned because of the speed at which Regent wants to advance the proceeding which would have its reorganization plan confirmed only 40 days from its original petition. She also said that a shareholder vote is "at the heart of the Chapter 11 process."

It's expected that the April 9 hearing will ratify the terms of the deal awarding GE Capital and Oaktree 90% of the equity, while the holders of the old Regent stock will divide up $5.5 million.