Banker faces cross-exam in Detroit bankruptcy

October 25, 2013
Orr: Bankruptcy filing not condition of job

This Oct. 1, 2013 photo shows the James Scott Fountain on Belle Isle in Detroit. With Detroit facing bankruptcy, all the city's assets are being assessed; the Scott Fountain is valued at $43,560. (AP Photo/Detroit News, David Coates) DETROIT FREE PRESS OUT; HUFFINGTON POST OUT

DETROIT (AP) -- A judge holding a rare trial about Detroit's bankruptcy case could hear testimony from Police Chief James Craig before breaking for the weekend.

The trial is entering a third day Friday with the cross-examination of a key consultant from New York who was working on Detroit's finances even before an emergency manager was appointed in March.

Ken Buckfire says Detroit's finances were on a "razor's edge" weeks before the bankruptcy filing in July. He says unpaid bills were stretched even more by spring.

Craig is expected to testify about the impact on public safety.

A judge must determine whether Detroit is eligible to clean itself up in bankruptcy court. A key issue is whether the city held "good-faith" talks with creditors before the filing. Unions and pension funds say no.