facebook
twitter
rss
account
search
search
 

Railway whose runaway train killed dozens in Canada files bankruptcy

Aug. 7, 2013 at 8:11 PM   |   Comments

LAC-MEGANTIC, Quebec, Aug. 7 (UPI) -- The railroad whose runaway train killed four dozen people said Wednesday it has filed for bankruptcy protection in the United States and Canada.

The Montreal, Maine & Atlantic Railway, based in the United States, said it filed for chapter 11 protection in U.S. Bankruptcy Court in Maine and its Canadian division took similar action in Montreal, The (Toronto) Globe and Mail reported.

"It has become apparent that the obligations of both companies now exceed the value of their assets, including prospective insurance recoveries," MM&A Railway Chairman Edward Burkhardt said in a statement, adding bankruptcy is "the best way to ensure fairness of treatment to all in these tragic circumstances."

The July 6 train derailment in Lac-Megantic, Quebec, set off a series of explosions that devastated the city's downtown district.

© 2013 United Press International, Inc. All Rights Reserved. Any reproduction, republication, redistribution and/or modification of any UPI content is expressly prohibited without UPI's prior written consent.
Most Popular
1
Bill O'Reilly lashes out at Colbert for mocking his IS strategy Bill O'Reilly lashes out at Colbert for mocking his IS strategy
2
Six Flags fight leaves boy critically injured, may have been organized on Twitter Six Flags fight leaves boy critically injured, may have been organized on Twitter
3
Mayor of LA suburb shot, killed inside home Mayor of LA suburb shot, killed inside home
4
Wisc. reporter told 'not to speak to crowd' at Michelle Obama event Wisc. reporter told 'not to speak to crowd' at Michelle Obama event
5
Kiev slams Russia for bringing criminal complaints against Ukraine's armed forces Kiev slams Russia for bringing criminal complaints against Ukraine's armed forces
Trending News
x
Feedback