Gov. Snyder grilled about role in Detroit's bankruptcy - FOX 10 News | fox10phoenix.com

Gov. Snyder grilled about role in Detroit's bankruptcy

Posted: Updated:
LANSING, Mich. (WJBK) -

It's a first for a sitting governor: Gov. Rick Snyder was deposed Wednesday in his Lansing office over his role in the Detroit insolvency issue.  Union attorneys wanted to know if the governor was predisposed to take the city into Chapter 9 Bankruptcy court, an allegation he has denied.  

The governor was questioned by several people for about three hours in the state office building. Lawyers wanted to know if the state had bargained in good faith, and if the state really wanted to avoid bankruptcy.

Outside the meeting this Detroit lawmaker weighed in on that. "I think all of the actions were predisposed to take Detroit into bankruptcy," Representative Fred Durhal Jr. tells Fox 2's Tim Skubick.

Last December the governor made it clear that he did not want to propel the city into bankruptcy but could not rule it out. "I would prefer not to. I mean that would be normal human nature. But, that's not to say if it's the right thing for the community - we'll do what's right," Snyder said during that interview.

Sharon Levine, an attorney at the American Federation of State, County and Municipal Employees, says the governor cooperated on some questions, couldn't remember on others and did invoke client privilege. On the issue of using bankruptcy as a last resort Levine says Gov. Snyder called it just that - a last resort.

"He did want bankruptcy to be viewed as a last resort, but that juxtaposed with the fact that we were concerned about whether or not there was really adequate negotiations or exploration of other solutions. And the fact that we still really don't have a safety net for retirees, maybe it wasn't such a last resort," Levine says.

If the unions can prove there was no bargaining in good faith they will ask the judge to keep the city out of chapter nine. The governor did not speak with reporters but in a statement he said he testified to ensure a quick and fair resolution of this bankruptcy issue, which he hopes will spur a 'vibrant and thriving Detroit.'

  • Download the FOX 2 Apps


  • FOX 2 News Five-Day Forecast
  • PoliticalMore>>

  • Foley's death isn't changing views in Congress

    Foley's death isn't changing views in Congress

    Thursday, August 21 2014 3:15 AM EDT2014-08-21 07:15:54 GMT
    For all its horror, the beheading of an American journalist in Syria appears unlikely to change lawmakers' minds about military intervention against Islamic State extremists. It's equally unclear whether...
    For all its horror, the beheading of an American journalist in Syria appears unlikely to change lawmakers' minds about military intervention against Islamic State extremists. It's equally unclear whether the Obama...
  • BofA's $17B settlement not as large as it appears

    BofA's $17B settlement not as large as it appears

    Thursday, August 21 2014 3:15 AM EDT2014-08-21 07:15:51 GMT
    Bank of America's purchase of Countrywide Financial has cost it tens of billions of dollars over the past six years. An expected $17 billion settlement with the Justice Departm ent will increase that toll, but...
    Bank of America's purchase of Countrywide Financial has cost it tens of billions of dollars over the past six years. An expected $17 billion settlement with the Justice Departm ent will increase that toll, but not by a...
  • US special ops tried but failed to find hostages

    US special ops tried but failed to find hostages

    Thursday, August 21 2014 3:15 AM EDT2014-08-21 07:15:46 GMT
    President Barack Obama sent special operations troops to Syria this summer on a secret mission to rescue American hostages, including journalist James Foley, held by Islamic State extremists, but they did not find...
    President Barack Obama sent special operations troops to Syria this summer on a secret mission to rescue American hostages, including journalist James Foley, held by Islamic State extremists, but they did not find them,...
  • PoliticsPoliticsMore>>

  • Election info for 2014 Michigan primaries

    Election info for 2014 Michigan primaries

    Tuesday, August 5 2014 3:41 PM EDT2014-08-05 19:41:25 GMT
    Polls are open until 8 p.m.  Go inside this story to find out where you need to go to vote and get information on some of the top races and issues.
    Polls are open until 8 p.m.  Go inside this story to find out where you need to go to vote and get information on some of the top races and issues.
Powered by WorldNow

KSAZ-TV & KUTP
511 W. Adams St.
Phoenix, AZ 85003

Phone: (602) 257-1234
Fax: (602) 262-0177

Didn't find what you were looking for?
All content © Copyright 2000 - 2014 Fox Television Stations, Inc. and Worldnow. All Rights Reserved.
Privacy Policy | New Terms of Service What's new | Ad Choices