MICHIGAN AG [ATTORNEY GENERAL] CHALLENGES JUDGE'S RULING THAT DETROIT BANKRUPTCY IS UNCONSTITUTIONAL (with Comment by Walter Burien)
Paull Eagan / Walter Burien
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LANSING — An Ingham County judge says Thursday's historic Detroit bankruptcy filing violates the Michigan Constitution and state law and must be withdrawn.
But Attorney General Bill Schuette said he will appeal Circuit Judge Rosemarie Aquilina’s Friday rulings and seek emergency consideration by the Michigan Court of Appeals. He wants her orders stayed pending the appeals, he said in a news release.
In a spate of orders today arising from three separate lawsuits, Aquilina said Gov. Rick Snyder and Detroit emergency manager Kevyn Orr must take no further actions that threaten to diminish the pension benefits of City of Detroit retirees.
“I have some very serious concerns because there was this rush to bankruptcy court that didn’t have to occur and shouldn’t have occurred,” Aquilina said.
“Plaintiffs shouldn’t have been blindsided,” and “this process shouldn’t have been ignored.”
■ Related: Read the judge’s orders
■ Related: Clerk files formal request to assign judge to Detroit bankruptcy case
Lawyers representing pensioners and two city pension funds got an emergency hearing with Aquilina Thursday at which she said she planned to issue an order to block the bankruptcy filing. But lawyers and the judge learned Orr filed the Detroit bankruptcy petition in Detroit five minutes before the hearing began.
Aquilina said the Michigan Constitution prohibits actions that will lessen the pension benefits of public employees, including those in the City of Detroit. Snyder and Orr violated the constitution by going ahead with the bankruptcy filing, because they know reductions in those benefits will result, Aquilina said.
“We can’t speculate what the bankruptcy court might order,” said assistant Attorney General Brian Devlin, representing the governor and other state defendants.
“It’s a certainty, sir,” Aquilina replied. “That’s why you filed for bankruptcy.”
Devlin said Snyder has to follow both the Michigan Constitution and the U.S. Constitution.
Schuette’s office issued a statement saying an appeal has been filed on behalf of the governor in all three cases before Aquilina.
“In addition, the Attorney General filed motions to stay the trial court rulings and any future proceedings while the appeals proceed,” spokeswoman Joy Yearout said. “Later today, we expect to file additional motions seeking emergency consideration.”
Aquilina issued a declaratory judgment that says the bankruptcy filing violated the Michigan Constitution.
“In order to rectify his unauthorized and unconstitutional actions ... the Governor must (1) direct the Emergency Manager to immediately withdraw the Chapter 9 petition filed on July 18, and (2) not authorize any further Chapter 9 filing which threatens to diminish or impair accrued pension benefits,” she said in her order.
John Canzano, a Southfield attorney representing retirees, cautioned there are no contempt implications for Snyder if he doesn’t follow the judge’s instructions. But he said he will likely return to court seeking further relief if Snyder doesn’t instruct Orr to withdraw the bankruptcy filing.
Asked what the judge could then do, Canzano said: “I will have to do my homework.”
Douglas Bernstein, a partner with Plunkett Cooney in Birmingham, said Aquilina’s ruling is surprising.
“This is generally how bankruptcies occur: You file bankruptcy when there is an impending crisis at the eleventh hour,” Bernstein said. “You file bankruptcies to stave off litigation.”
University of Michigan law professor John Pottow said the issue could travel up the court system, all the way to the Michigan Supreme Court. Or it could be answered decisively and quickly in bankruptcy court, he said.
“There’s nothing that precludes a federal judge from adjudicating the constitutionality of the Michigan statute,” Pottow said. “The bankruptcy judge can interpret Michigan law.”
Aquilina, who like most of the judges on the Ingham court has a Democratic background, appeared prepared for the likelihood her orders will be appealed by the state.
“Let’s get this moving to the Court of Appeals, because that’s where you all are headed,” she said.
She also ordered that a copy of her declaratory judgment be sent to President Barack Obama, saying he “bailed out Detroit” and may want to look into the pension issue.
Free Press staff writers Brent Snavely and Nathaniel Bomey contributed to this report. Contact Paul Egan: 517-372-8660 or pegan@freepress.com
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WALTER BURIEN:
I just left a comment to a Detroit article at - http://jhaines6.wordpress.com/2013/07/19/michigan-ag-challenges-judges-ruling-that-detroit-bankruptcy-is-unconstitutional/
My comment posted expresses the Key to the whole picture in all respects. It is copied below and please share with your contacts and re-post for as many as possible to see in the shortest period of time.
I hope what is written and the bottom line stated moves and motivates many to move forward on and make the stated objective happen.
Sent FYI from,
Walter Burien - CAFR1.com
COMMENT BELOW
July 21, 2013
Tel. (928) 458-5854
What I have always found interesting is: Most large cities, counties, and states are bringing in more money than Midas ever dreamed about in his wildest dream, [through CAFR]and for decades the general population was masterfully entertained off into distraction by the gang to not look.
The population is masterfully spoon fed one story line after another having nothing to do with the total gross income, standing investment wealth, or exponential growth in the take over 5, 10, 15, 20, 25, 30 years (the basics for each and every one of us in our own personal lives) and as it pertains to your local governments a well orchestrated and maintained, total vacuum / void is intentionally maintained of the basics we keep up front and personal in our own lives since we are kids up until we die.
I must say it brings a smile to myself now after 14-years of my best efforts for disclosure though over 600 radio shows done, several YouTubes, thousands of email posts sent, and reaching over 55-million people that are now breaking breaking the ice for true cognitive thinking.
People are now looking and learning in numbers getting those life altering revelations that: The world is not flat, we are not the center of the universe, and the world of government collective take over of the wealth both domestic and international is much different then we all were led to believe DUE TO THE MONEY, OWNERSHIP AND CONTROL INVOLVED.
Always remember ENRON promoted their profits and hid their debt. Government does the exact opposite, they promote their debt and hide (mask) their profits.
When the distractions are moved to the side and the basics are looked at (breaking through that void and vacuum maintained for 70-years) their scheme crumbles under true light shown. With that noted, that is why the “Silence is Golden” rule has been strictly enforced over the last 70-years. It was essential that they had the full cooperation of the syndicated media, controlled education, and the two primary political parties to pull off the Biggest Game in Town. Those heads of those groups were included in on the loop for the last 7-years and the goal of taking it all over by investment and securing the productivity value of an entire nation was accomplished.
When the basics are comprehended, then every issue then comes into clear light: Trade policy, domestic policy, NAFTA, GATT, the Bailouts, Rigged elections, wars, interest rate levels, promoted debt, masterfully presented distractions, the Terrorist buzz words (you can not continue to take all that everyone owns and not expect retaliation when and if the jig is up based on mass comprehension)
Government has accomplished taking it all or in the position to take it all that remains. Each and every day the population becomes a greater liability. The key focus of government over the last decade as can be seen through those promoted shows of Judge Judy, Cops, Jail, and 20 others of the like all have one theme that is subliminally saturating the population over and over again. That being: Shut up, follow instructions, and do what you are told.
On a last note, we all have seen the non-stop coverage of the different instances of fanatics who went off the edge and killed. New Town, etc. Today the focus was on the Colorado Theater were 18 were killed and 70 wounded. While watching the News Helicopter filming the theater from above, I visualized a drone attack of which would have leveled the building and killed all if not most inside. Now ask yourself how many drone attacks our government are conducting each day and how many thousands are killed by them each week. If those events were given the same coverage and the follow-ups of each fatalities life, the men, woman, and children was then shown as was done for each incident in the US, the news media would not have the air time to do so by a factor of 500. Catch that reality check and a chill will go through you of the definition of true evil and how masterfully we are all entertained to be in a selective presentation state of being totally controlled in a disillusion state based on the well honed backed up by billion dollar budgets, the best talent that money can buy, for population control efforts carefully presented by the controllers..
The time is late, and the population better stop spinning their wheels being directed into chasing windmills. Those Jews, Pols, and other back in 1938 – 43 got on those train cars believing they were being relocated to be in nice settlement communities to be with their own kind, done so in their behalf. Also, 99% of the German population thought the same was being done. Power corrupts and absolute power corrupts absolutely. Once you have played the population to take all that they own, after doing so, the same (the majority) just becomes a liability to be dealt with and eliminated if needed.
Please for your sake and the sake of your children and friends, realize you are in a real war on the home-front. A war perpetuated and allowed by selective presentation and carefully orchestrated masterful entertainment designed to make you an easy mark for wealth transfer and if needed elimination. Read the writing on the wall as to the position government is taking to “deal” with the population either dead or alive. Connect the dots there, comprehend it, and realize the serious nature of the circumstance building and expanding around us each and every day.
Again, it is a war, and 98% of the population continues to be masterfully entertained to be in an intentionally orchestrated delusional La-La land state for easy control and elimination if the circumstances call for it. Know and learn the score, and force yourself to get a well focused perception for immediate corrective action done so with true applied force.
The controllers do not play fair, and again as said previously they have the best talent that money can buy and can orchestrate events to pull the rug out from all with the stroke of a pen and a few executive orders signed and enforced.
REMEDY?
Greed and opportunity has driven the Government gangs in concert with the industrial / financial cartels in concert for over a thousand years. The population was always viewed as a “Productivity unit” to be drained and managed. Never was a good thing for the population and never will be.
The key here that unlocks the vault, puts all on the same page for the first time in history, and is a win-win for one and all is to restructure government as a fiduciary trust manager where the wealth (both domestic and international) currently amassed by collective government is redirected and consolidated into a fiduciary trust structure having the “first line” objective to meet the budgetary requirements of all local governments from the investment return derived therefrom. One revenue source (investment return) replaces another revenue source (taxation). Taxation phased out and eliminated.
Here you have a prospering self perpetuating economy for the next 10,000 years and beyond.
The population maintains their productivity value building their wealth.
The Industrial / Financial cartels have virtually an unlimited source of capital reinvestment from these ever growing massive fiduciary trusts which I have entitled TRFs (Tax Retirement Funds), designed to do what they say: Retire Taxation.
Government administrations are now very prosperous and with that expanding economy has truck-loads of cash rolling in from the returns generated annually from the TRF funds to easily meet their operating budgets.
Again, a win-win for all involved with for the first time in history, all on the same page.
The current course we find ourselves on with the continued expansion of the take out of simple greed and opportunity applied from government through ever increasing taxation has created a runaway 200-car freight train going at 400 MPH down the track, heading for a 1-mile thick concrete wall. The collision is inevitable and will not be a pretty site where all loose, government, the industrial / financial cartels, and the population
The TRF funding principle for government with taxation (all: Property, sales, personal, corporate) phased out and subsequently eliminated creates the start of the Millennium, a thousand years of prosperity for one-and-all, with all being on the same page for the first time in history.
Doing this is not an option, but a mandatory requirement to avoid that train collision if we all wish to survive. I say this not as an issue but as “the issue” that is the war we have found ourselves in at home that is permeating in a very negative fashion every aspect of our lives at this time.
I am a true believer in the David and Goliath story from the past. The Goliath in this circumstance we find ourselves in today generates trillions of dollars annually and has the best talent at its disposal, with an established network of no equal ever seen on this planet to date.
There is only one way to make this happen. The greed and opportunity principle must be implanted in the players of government and the industrial / financial cartels to make it happen for the superlative benefit of the planet (and themselves). How and whom can get the DC gangs brains churning away with a spark of excitement to make this happen?
Well, my focus at this time is to make it to DC for a two week extended trip to address the US Senate during open session for 1-hour and if it can be arranged to do the same for the House. If the necessary sponsorship comes in to get the job done, I will have one of the top ten accounting firms do a complete review of a local city, town, or county in the DC area and complete a TRF prospectus report outlining in detail consolidation, policy restructure, cross over times to meet the objective of the elimination of all taxation in that venue, and have that verified and certified prospectus report for printing and then distribution to the Senate, House, and associated committees. A blueprint that is applicable for every City, County and State in the Nation.
When the sponsorship and funding comes in and is met to do the job, scheduling to get the job done will commence. That can be accomplished by a call to me from one individual or a swarm of many to put this battle plan into motion.
I stand by waiting to fight this battle for one and all. Knowing myself, if this battle is played out, I think the war may just be won shortly thereafter. I can catch their undivided attention and motivate most of the DC gang to push forward with not just an opportunity, but a life defining opportunity for them of many lifetimes that stems back to the first human that stood upright on the planet.
Well, want to make it happen? Then do.
Truly Yours,
Walter Burien – CAFR1.com