Story Regarding Eddie Hobbs' Service Provider In Detroit And Related Postings

by Unanswered Mon Nov 25, 2013 09:03

Reading the posts, it is clear you are the posters that have been actively posting information anonymously on websites in advance of due process. You've come on record only after being questioned. There still are questions you have not answered that are glaring holes in your campaign

There are no fraud charges against anyone, it is a civil suit with civil claims, so why persist with this fiction?

There is no police investigation after two to three years, why not?

Where are the hundreds you allege coming forward in this 'giant' ponzi scheme?

You did file through a part time solicitor identified by the Council for American Islamic Relations as the USA's most bigoted person, why would you chose to do that?

You admit refeence in your filing about the Irish firm investing €15m in Metro is based on rumour so why continue with it despite a company statement making clear that it's relationship is as a supplier of service?

by fred Mon Nov 25, 2013 11:29

@unanswered/finn

Who are you? If you have nothing to hide and are doing the right thing in the interests of informing the public purely out of altruism here then reveal your identity so the public can thank you.

by Unanswered Mon Nov 25, 2013 12:46

You continue to avoid answering simple observations like (a) There is no fraud charge, its a civil suit, (b) Why no police investigation, (c) Where are the hundreds in the alleged 'giant ponzi scheme - its been six months and you are the only one's posting on-line.

Here is another media report on a counter-filing. It states that the plaintiffs were in fact acting as property selling agents commissioned by UK-based firm USA Direct, a matter missing from the filing. So you are property professionals then? How much money did you make selling on these units with massive mark ups? Are either of you a bankrupt?

You complain about the questions being posed but when you read both filings, these questions as above are valid and the question about whether it is a shake down is also valid. You bought three units and you're suing for $6,400,000 per house!

By Joe Slezak
Press & Guide Newspapers

DETROIT — A Dearborn-based company that buys foreclosed houses in Detroit has filed a counterclaim against a group suing it.

Metro Property Group LLC filed the counterclaim July 30 in U.S. District Court, asking a judge to order plaintiffs Kathryn and Mark Llewellyn-Jones to stop trying to interfere with the company’s business relationships and stop making claims that the houses its buys and rehabilitates are “virtually worthless on the open market.”

The Llewellyn-Joneses are United Kingdom citizens and United Arab Emirates residents. They are among eight people who filed a federal lawsuit against Metro Property Group on May 7, accusing it of fraud and racketeering for allegedly fleecing investors worldwide with a Ponzi-like scheme.

RELATED: DETROIT: Anti-Islam attorney sues group over fraud, racketeering allegations

Metro Property Group claimed that it had not been served with the suit for three months after it was filed, and that none of the claimed 71 exhibits were attached.

The counterclaim also said the plaintiffs’ attorney, Southfield-based Debbie Schlussel, has a strong bias against Muslims. Metro Property Group’s principals are Muslim. It said Schlussel accused a former Metro Property Group attorney, Tarek Baydoun, of being “a Muslim activist for Islamic terrorist groups.”

Schlussel has used the term “Dearbornistan” in her media commentaries.

Baydoun, a Dearborn City Council candidate, said in May that he firmly denied any wrongdoing and that Schlussel’s allegations are “scandalous and fraudulent.” He also said that he stepped down as Metro Property’s attorney in October 2012 and didn’t expect to be a party in the litigation.

Also named in the suit are Metro Property officials Sameer Beydoun (the CEO), Ali Beydoun, David Makki and Mike Alaweih.

The suit accused them of marketing houses in Detroit to investors all over the world as money-making investment, and they allegedly presented fake documents, including leases with forged signatures. The houses were sold for $40,000 to $50,000 when, according to the suit, they were virtually worthless, in complete disrepair, uninhabitable and without tenants.

The suit cites 11 houses in Detroit, and the plaintiffs are asking for $6.4 million in damages per house and for their original investments to be repaid.

Metro Property Group said in the counterclaim that it “performs a significant amount of due diligence with respect to houses for sale” and only buys in “specific, strong-performing neighborhoods” in Detroit. It also claims to be the No. 1 purchaser of single-family houses in the city. Many of the houses are in tax foreclosure, and most are purchased at auctions.

The company said it spends $10,000 to $20,000 to refurbish each house, and each gets a 238-point inspection before it’s sold. The buyer has the option of using Metro Property Group to manage the house if it’s intended to be a rental. It manages more than 1,000 properties.

Metro Property Group spent about $5 million on rehabilitation work on more than 800 houses in 2012, and it sold more than 600 to more than 200 investors for more than $30 million, according to the counterclaim.

The Llewellyn-Joneses bought three houses from Metro Property Group through USA Property Direct, a brokerage firm in the United Kingdom. Four of the lawsuit’s six other plaintiffs bought houses through the same firm, with Kathryn Llewellyn-Jones making commissions as a sales agent.

The houses were purchased in 2011, before the 238-point inspection program was started, and the counterclaim said she started complaining in 2012 about some properties and made “increasingly inappropriate demands.” Metro Property Group was terminated as the property manager in July 2012.

The two sides began negotiating and agreed that Metro Property Group would buy back the houses, but the Llewellyn-Joneses hired a law firm and the deal fell through. They then hired Schlussel, who filed the lawsuit.

Of the eight plaintiffs, five are from the United Kingdom, two are from Australia and one is from Yemen.

by M&K Llewellyn-Jones Mon Nov 25, 2013 14:40

We have clearly stated that we will not enter into any discussion with a person who hides behind anonymity. Any post on here from us will clearly state so and we have nothing to do with any others.

Finn/ Unanswered is invited once again to reveal who they really are, if they are the mouthpiece for Brendan Investments and if they are prepared to stand by their repeated accusations that some or all of the plaintiffs in the lawsuit filed against Metro Property Group are guilty of extortion, blackmail, bankruptcy, religious and racial hatred.

Finn is adding new accusations claiming that we are sales agents who have profited from selling Metro's Property Group slums at a markup.

Finn also appears to be both a coward and an incredible fool, simply repeating the crap that Metro has fed him…crap which even their own attorney in a recent hearing conceded was not true.

by Unanswered Mon Nov 25, 2013 14:52

That's just plain silly. You've been posting continuously and facelessly, making allegations that simply make no sense and tellingly, this is the sixth or seventh time you fail to answer these simple questions, why?
(a) There is no fraud charge, its a civil suit, why call it such? (b) Why no police investigation, (c) Where are the hundreds in the alleged 'giant ponzi scheme - its been six months and you are the only one's posting on-line.

It's ironic, you pluck liberally out of a document prepared by someone regarded as the USA's biggest bigot by the Council for American Islamic Relations but when a newspaper report on the counter claim is reproduced you lose the plot. Small wonder. You are claiming $6.4 each on three houses worth, what about 0.5%.

by M&K Llewellyn-Jones Mon Nov 25, 2013 14:57

Come back when you have the guts to reveal yourself and stand by the allegations you are making…as we have done openly.

by fred Mon Nov 25, 2013 15:52

yeah, who are you unanswered? If you have nothing to hide then tell us.

by Unanswered Mon Nov 25, 2013 17:20

Instead of proceeding with the suit, you've been (a) engaged in a faceless 6 month on-line campaign of vilification, some of it based on 'rumour' which you admit and (b) evading glaring holes in your efforts. You finally come on record after being challenged and when the counter suit reveals you as claiming compensation 50 times more than your three units through a part time attorney, movie critic and xenophobic blogger regarded by the Council for American Islamic Relations as the USA's most bigoted person - an accolade, no doubt she has both earned and bears as a badge of honour.

You get vexed when this is pointed out and still continue to avoid answering these simple questions, presumably because they expose your efforts as, at best, hugely exaggerated and at worst as a plain old fashioned shake down ? Here are the questions again;

(a) There is no fraud charge, its a civil suit, why call it such? (b) Why no police investigation, (c) Where are the hundreds in the alleged 'giant ponzi scheme - its been six months and you are the only one's posting on-line.

by Debbie Says Mon Nov 25, 2013 17:50

Here is the attorney on the day the news broke of huge loss of human life in Norway;

It’s trite but true: a picture’s worth a thousand words. And the Norwegian newspaper pictures from the “political youth camp” at Utoya Island, Norway–the day before terrorist Anders Behring Breivik attacked it–say it all. The boycott sign is obvious, and the other pic is a game, re-enacting of the HAMAS flotilla in which terrorists tried to murder Israeli soldiers (complete with Palestinian flags and Norwegian kids’ smiles). These kids who were killed by a terrorist . . . well, they sided with Islamic terrorists. Look at the photos brought to our attention by Zalmi’s Weblog, and they appeared on Norwegian news site Politisk, right before the attacks. Read all the insightful details provided by the astute Zalmi, who notes that the man in the pic happily encountering the boycott sign is Norway’s Foreign Minister Gahre-Store, who went on to praise Palestinian terrorists and condemn Israel.

“Victims” or Perpetrators?: Norwegian HAMASniks Join Norway Foreign Minister @ Utoya Island Camp

Funny how Glenn Beck has come under attack for comparing the camp to a Hitler Youth camp. Based on these pics, seems like he’s spot on, though he should have added, HAMAS Youth camp, too. As we all know, Nazis boycotted Jews and were Jew-killers. And these hateful, privileged brats at the camp boycotted Jews and sided with Jew-killers. I don’t condone violent massacres on innocent civilians, and I condemn what Breivik did. He is a terrorist just like the 9/11 hijackers, Hezbollah, HAMAS, and Nidal Malik Hasan. But what goes around comes around. You support terrorists against innocent civilians in Israel, then you get attacked by terrorists who are upset with your support.

by M&K Llewellyn-Jones Mon Nov 25, 2013 18:05

It is astonishing that the Coward Finn seriously believes that he or she has the right to demand answers when he or she is too s*** scared to reveal their identity. Should this individual gather the courage to reveal themselves we will be more than happy to answer any questions and provide any documentary proof requested. We have nothing to hide. We would also welcome the chance to discuss the many allegations Finn has levelled at us which include blackmail, extortion and bankruptcy.

As Finn does not seem to be the sharpest knife in the drawer we will try and explain, in very simple terms, that Fraud is also a civil tort therefore, in the civil case brought against Metro the charge is "Fraud" as well as - breach of oral and implied contract, unjust enrichment, misrepresentation, conversion—both common law and statutory, racketeering and other causes of action committed by Metro and their employees, agents, and representatives. We appreciate this is a lot of words to try and understand. The case has been filed in a Federal Court and a jury trial has been demanded.

The Serious Fraud Office in the UK are investigating Metro Property Group as are official agencies in the US.

Perhaps Finn would now like to tell us if he or she is a mouthpiece for Brendan Investments or Metro Property Group or both.

We hope this will put an end to Finn's repetitive and anonymous postings.

by Unanswered Mon Nov 25, 2013 19:50

You continue to make unsupported allegations and avoid questions;

1. Why engage a part time attorney, a person so xenophobic that her blogging has come to national attention for remarkable bigotry. See above for her reaction to the massacre in Norway and explain why anyone should give credence to a court document constructed by her attacking a firm headed by Muslims based, as she calls it in Dearbornistan?

2. Where is there any evidence of police investigation. The alleged events took place in 2011?

3. Where are the 'hundreds' of others. In six months this huge edifice scam as you allege amounts to 8 units and for your three you are claiming $6.4m a piece, trying to make over 50 times back on your money.

4. The court filing countering your claim states that you were selling property on behalf of UK firm USA direct, is this true?

5. Why do you continue to campaign on line instead of letting due process run its course, why engage in this behaviour?

by Alexander Macomb Tue Nov 26, 2013 06:39

Extraordinary reading this material. Anders Breveik slaughtered 77 Norwegians, 69 of them children in cold blood in July 2011 when you were investing in Detroit property for profit. You chose a lawyer who described their holiday camp as a Nazi boot camp and that these kids got what they deserved.

No matter what else you have to say about the merits of your case how can you expect sympathy or credibility?

That you passed your file to Schlussel knowing her record really doesn't leave you with a leg to stand on.

by Dame Edna Fan Tue Nov 26, 2013 08:29

http://www.dailymail.co.uk/news/article-2513492/Camilla....html

by Sir Walter Raleigh Tue Nov 26, 2013 09:03

Why is Schlussel targeting Brendan Investments though? Are the directors Muslims? Or are the directors of Woodward Capital, the company BI and Metro Property partnered in, Muslims?

by Unanswered Tue Nov 26, 2013 09:30

Schlussel targeted One Direction boy band member Malik as a jihadist, she called for one billion Muslims to follow Bin Laden into the grave , she described the Nowegian teens murdered by Breveik as partaking in a Nazi boot camp.

The same person was chosen and hired by you. How can anything she writes be separated from fiction? The filing you approved describes the Metro directors as fund raising for terrorists, with homes in Lebanon!

Everything she claims in the filing is deeply suspect including the reference, you admit is based on rumour to an uninvolved Irish firm. What is extraordinary is that (a) you chose a part time attorney whose reputation is deeply flawed, (b) you've taken extrapolation from the same filing on to US websites and now across the Atlantic to the Emerald Isle, without success for six months as no one else has come forward to support your allegations and (c) there is no police investigation -why? Finally you claim $6.4 million each for three units worth less than 50 times that amount.

When it's poined out that the filing appears vexatious, spurious and grossly over the top and that engaged before due process on line, smacks of a shake down, you get vexed.

by What a coincidence Tue Nov 26, 2013 09:35

…but it looks like Metro Property Group and Brendan Investments are as snug as bugs in a rug.

http://cdn.mymetroproperty.com/sites/mymetroproperty.co...x.pdf

http://bipropertymanagement.ie

by Unanswered Tue Nov 26, 2013 10:47

You continue to avoid answering simple observations like (a) There is no fraud charge, its a civil suit, (b) Why no police investigation, (c) Where are the hundreds in the alleged 'giant ponzi scheme - its been six months and you are the only one's posting on-line. You have filed a civil suit through a xenophobic part time solicitor destroying any credence in anything you have to say here, surely?

Here is another media report on a counter-filing. It states that the plaintiffs were in fact acting as property selling agents commissioned by UK-based firm USA Direct, a matter missing from the filing. So you are property professionals then? How much money did you make selling on these units with massive mark ups? Are either of you a bankrupt?

You complain about the questions being posed but when you read both filings, these questions as above are valid and the question about whether it is a shake down is also valid. You bought three units and you're suing for $6,400,000 per house!

By Joe Slezak
Press & Guide Newspapers

DETROIT — A Dearborn-based company that buys foreclosed houses in Detroit has filed a counterclaim against a group suing it.

Metro Property Group LLC filed the counterclaim July 30 in U.S. District Court, asking a judge to order plaintiffs Kathryn and Mark Llewellyn-Jones to stop trying to interfere with the company’s business relationships and stop making claims that the houses its buys and rehabilitates are “virtually worthless on the open market.”

The Llewellyn-Joneses are United Kingdom citizens and United Arab Emirates residents. They are among eight people who filed a federal lawsuit against Metro Property Group on May 7, accusing it of fraud and racketeering for allegedly fleecing investors worldwide with a Ponzi-like scheme.

RELATED: DETROIT: Anti-Islam attorney sues group over fraud, racketeering allegations

Metro Property Group claimed that it had not been served with the suit for three months after it was filed, and that none of the claimed 71 exhibits were attached.

The counterclaim also said the plaintiffs’ attorney, Southfield-based Debbie Schlussel, has a strong bias against Muslims. Metro Property Group’s principals are Muslim. It said Schlussel accused a former Metro Property Group attorney, Tarek Baydoun, of being “a Muslim activist for Islamic terrorist groups.”

Schlussel has used the term “Dearbornistan” in her media commentaries.

Baydoun, a Dearborn City Council candidate, said in May that he firmly denied any wrongdoing and that Schlussel’s allegations are “scandalous and fraudulent.” He also said that he stepped down as Metro Property’s attorney in October 2012 and didn’t expect to be a party in the litigation.

Also named in the suit are Metro Property officials Sameer Beydoun (the CEO), Ali Beydoun, David Makki and Mike Alaweih.

The suit accused them of marketing houses in Detroit to investors all over the world as money-making investment, and they allegedly presented fake documents, including leases with forged signatures. The houses were sold for $40,000 to $50,000 when, according to the suit, they were virtually worthless, in complete disrepair, uninhabitable and without tenants.

The suit cites 11 houses in Detroit, and the plaintiffs are asking for $6.4 million in damages per house and for their original investments to be repaid.

Metro Property Group said in the counterclaim that it “performs a significant amount of due diligence with respect to houses for sale” and only buys in “specific, strong-performing neighborhoods” in Detroit. It also claims to be the No. 1 purchaser of single-family houses in the city. Many of the houses are in tax foreclosure, and most are purchased at auctions.

The company said it spends $10,000 to $20,000 to refurbish each house, and each gets a 238-point inspection before it’s sold. The buyer has the option of using Metro Property Group to manage the house if it’s intended to be a rental. It manages more than 1,000 properties.

Metro Property Group spent about $5 million on rehabilitation work on more than 800 houses in 2012, and it sold more than 600 to more than 200 investors for more than $30 million, according to the counterclaim.

The Llewellyn-Joneses bought three houses from Metro Property Group through USA Property Direct, a brokerage firm in the United Kingdom. Four of the lawsuit’s six other plaintiffs bought houses through the same firm, with Kathryn Llewellyn-Jones making commissions as a sales agent.

The houses were purchased in 2011, before the 238-point inspection program was started, and the counterclaim said she started complaining in 2012 about some properties and made “increasingly inappropriate demands.” Metro Property Group was terminated as the property manager in July 2012.

The two sides began negotiating and agreed that Metro Property Group would buy back the houses, but the Llewellyn-Joneses hired a law firm and the deal fell through. They then hired Schlussel, who filed the lawsuit.

Of the eight plaintiffs, five are from the United Kingdom, two are from Australia and one is from Yemen.

by Boring Now Tue Nov 26, 2013 10:56

Folks, its getting boring now. Summary ; The UAE UK ex-Pat hired a part-time lawyer and well known crazy to do the work, that does cast a long shadow over everything in it but the plaintiff is persistent although prickly but going for over six million bucks for a low price housing disaster does seem extreme. We'll just have to wait until the trial, if there is any. Boring now.

by Nozi Parker Wed Jan 15, 2014 09:09

One of Metro Property Group's largest clients has gone on to a site in the UK saying that he has now found out how Metro really operate and is looking to take legal action against them. Much bigger Metro Property clients are the Lottery winning McNamaras with their 130 Detroit properties…..who persuaded them to get stitched up like that????? It is a mystery as deep as an Artesian Well.

Finn should check out 10816 Worden, maybe have a little chat with the previous owner who was paid off by Metro when he discovered his lease was forged, as was the Section 8 certificate, and the rent he had been getting was just his own money being paid back to him. He threatened to expose them but Tarek Baydoun and James Allen 'sorted it out' and now 10816 Worden has a proud new owner….. doesn't it Finn?

by 10816 Worden Mon Jan 20, 2014 09:59

He's wondering where all the tenants have gone and how he ever got conned into this and how he's going to explain it all away, and then there's those shite apartment blocks that need selling lol!

10816 Worden!!! You have to be kidding. That piece of crud was being touted by Axis (who have now closed down). Metro were forced to settle up with the original owner of it because he was going to the police. Metro made sure they weren't out of pocket though….there's always another mug waiting in the wings……isn't there Finn?

Are you there Finn?

Finn?

Oh bother he's gone.

by Watcher Sat Jan 25, 2014 11:37

Reading the stream there isnt much of a gap really. One claims wrong doing and the other says show the evidence in a court judgement or even a formal police investigation. Its understandable not to give weight to website posting.

by My Friend Sat Jan 25, 2014 17:48

Is not blowing in the wind......it's at the bottom of an Artesian Well...isn't it Finn?

10816 Worden!!! LOL

by Eviction Defense Tue Feb 18, 2014 14:25

Urealdene Henderson wins home back after Metro Property threatened, demanded huge payment
picketers in front of news camera
40 supporters picketed Metro Property Management leasing office March 9, 2013
Ms. Henderson has lived in her Detroit home for 36 years. She worked at Great Lakes Steel as a member of the Steelworkers union for 34 years, but after being diagnosed with cancer she was off work for three years. She returned to work in 2009, only to be laid off, and got behind on her property taxes. She now is retired on disability.

Ms. Henderson had a deal with the Wayne County Treasurer to pay $2,100 to prevent tax foreclosure. Through no fault of her own, her payment arrived three days late -- and the Treasurer had already sold her home to Metro Property Management for $7,000.

Ms. Henderson contacted Metro right away, and offered $10,000 to buy back her home. But Metro demanded $52,000 -- more than five times what houses in the area sell for. Metro later said they wouldn’t sell, and would only rent her the home for $1,000 a month.

Metro put notices on Ms. Henderson’s door to try to frighten her into moving. One said: “This property is illegally occupied by a SQUATTER” and threatened her with arrest. In a court hearing on March 11, the judge told the company lawyer such threats are wrong. They are now talking with Ms. Henderson .

by A happy Plaintiff. Tue Apr 08, 2014 09:54

Well done old girl.

Metro have been denied their motion to try and stop KL-J from talking about them and their scam. The Judge said the plaintiffs were entitled to talk about what Metro did to them and the damage to current and potential investors far outweighed any damage Metro might suffer.

Glad someone has the guts to stand up to these bullying con artists and the likes of the anonymous Finn.

http://dockets.justia.com/docket/michigan/miedce/2:2013...80628

by Happy Chappie Sat Nov 15, 2014 12:55

Fraud and Racketeering successfully pleaded, trial set for August 2015 well done.

Will you be a witness for MPG Finn? You are their only remaining friend. LOL

by Pageant Wed Dec 03, 2014 06:56

It is bizarre certainly from this side of the Atlantic to witness those taking civil action to run a parallel trial by website. That would not be tolerated by UK or European courts. Despite it's tarnished reputation Metro or any other firm is entitled to due process which has not been respected by the claimants, instead it has been abused. FYI I've no business with Metro.

by Passer - Passer Wed Dec 10, 2014 08:59

When will people get it that property is a high risk business and when you invest far from your own market you add to risks. One of these risks is that you find yourself a victim of dishonest operators. These can be solicitors who rip off the title, local councils who seek bribes for things like access, former owners who hide major defects, fake insurance policies, falsified claims from tenants, damages and in the case of rental companies you can be loaded with artificial claims for costs. These investors in Detroit caught a dose and are taking civil action. They did not visit or inspect their investments before buying. Most plaintiffs in matters relating to breach of contract pursue damages exclusively through the legal process and are strongly advised by their lawyers to desist from public comment until due process is complete. It is what we recognise routinely and is respected by the media for good reason. The alternative, trial by anonymous website comments, would lead to chaos and would be quite offensive to what we regard as civil rights which includes a right to ones good name. The plaintiffs in this quite specific case have first erred however in choosing an attorney that is a high profile bigot and secondly in making wild claims on websites, much of it quite unsubstantiated, including naming people and stating that they have committed criminal acts. They have also defamed anyone associated with their opponent. The USA is no paragon of virtue, firms here try at every turn to rip off overseas investors and are pretty good at sniffing out those ill-resourced and weakest in doing so. That is what has happened here. There has been several convictions for crime in the sector, throughout the US and also quite recently in Detroit. It comes with the market.

But a number of US cities are making substantial comebacks from the grave, Detroit is one. Going into bankruptcy has helped it's u-turn, the property market, in the right micro locations is rising fast, blight is being addressed aggressively by the City authorities and if sustained Detroit has the potential to become the case study in rejuvenating a dead duck metropolitan area. The Americans are good at this type of thing, once they address it, which is happening. There is much to do but early investors who get it right and weather the risks stand to make substantial profits if Detroit returns anywhere near US city averages. The city centre has been modernised and it is now extending out to the outlying areas. It has been common to write of Detroit as a hopeless case but that is no longer accurate analysis and is well out of date. The popular press is beginning to catch on. Unquestionably it is a very tricky market to get right, rigorous cost controls are required and service firms have to be carefully vetted and monitored but the high net yields after costs and local taxes on the back of very strong rental demand and rising valuations is attracting fresh investment, shortly credit is expected to loosen allowing greater numbers of new homeowners to partake.

So like may stories, Detroit isn't black and white and while the case being taken for events that took place in 2011 is ugly, many good things are happening too.

by Passer - Passer Wed Dec 10, 2014 16:53

Finally to add to the last post, the news today marks the end of the bankruptcy after agreement between creditors, unions forced to negotiate and city managers. Further large scale investment will now follow because investors are no longer buying into an insolvent region but instead a solvent one.

Snyder approves end of Detroit's financial emergency status; Kevyn Orr steps down
By Corey Williams, Associated Press

ANJANA SCHROEDER/CRAIN'S DETROIT BUSINESS
Kevyn Orr has agreed to step down as Detroit's emergency manager, saying in a letter released Tuesday that the city will no longer be in a financial emergency once it exits bankruptcy.

Orr also told Gov. Rick Snyder in his letter, dated Monday, that he has implemented the city's two-year budget that reflects the elimination of about $7 billion in debt through the largest municipal bankruptcy in U.S. history.

The budget order brings an end to Orr's 22-month stay and efforts to solve one of the largest fiscal emergencies ever to face a major U.S. city.

Snyder told Orr in a letter Tuesday that he agreed with the determination and "approves termination of the financial emergency status, the receivership of the city of Detroit, and your contract as emergency manager."

U.S. Bankruptcy Judge Steven Rhodes is expected to sign off on the budget order. A hearing is scheduled Monday in federal court to determine Detroit's bankruptcy exit date.

The bankruptcy's effective end date is merely one step in Detroit's journey, Orr said in the letter to Snyder.

"There remains much work for the city to complete and much yet to accomplish," he wrote. "I hope and firmly believe that the city's leadership can continue to build on the solid foundation the restructuring process has created for them."

Orr — a turnaround expert who helped steer Chrysler through the automaker's Chapter 11 bankruptcy — had been the official face of Detroit government since he was appointed in March 2013 by Snyder.

Orr took the $275,000 annual job under an 18-month contract and soon determined the city was drowning in about $18 billion in overall debt, unable to pay its bills or provide adequate city services for its 700,000 residents.

Detroit filed for bankruptcy on July 18, 2013. Rhodes approved the city's bankruptcy petition on Dec. 3, 2013, and last month approved Orr's long-term restructuring plan.

Most of the city's creditors, including about 30,000 employees and retirees, approved the plan, which wipes out about $7 billion of $12 billion in city debt not tied to funding sources, while retaining $1.4 billion to improve police and fire and other city services.

The final plan came after months of intense negotiations with major banks, bond companies, unions, the city's two pension groups and others. It was bolstered by a unique promise of $800 million from foundations, major corporations and the state to help make up cuts to retiree pensions while protecting city-owned pieces in the Detroit Institute of Arts from possible sale.

Control of Detroit's finances was returned in September to Mayor Mike Duggan and the nine-member City Council when Orr's contract ended. He remained onboard to oversee the conclusion of Detroit's bankruptcy and implementation of the bankruptcy's exit financing.

by Keep On Speaking Out Sat Jan 17, 2015 10:32

The Claimants should be thanked for having the guts to stand up and speak out about this corrupt organisation. They have abused nothing - ever heard of freedom of speech Pageant? In any event not only is it their right to be able to tell the world what these con-artists did to them, a Federal Judge ordered in Court that in the interests of others who could be immeasurably harmed by Metro they were entitled to openly talk about what happened to them.Maybe you don't like it Pageant and would prefer they had been silenced, which makes your claim that you have nothing to do with Metro very dubious

The only regret here is that they weren't able to talk out sooner....perhaps in 2011 and then maybe Brendan Investments wouldn't have encouraged their clients to invest literally millions in an investment scheme based on a con trick.Who knows.

Let's hear how that's working out shall we, anybody got any ideas? Any of the investors had a return on their money yet? Any explanation as to why hundreds of properties owned by Brendan Investments were given back to Wayne County?

by Passer Thu Jan 22, 2015 12:29

The answer is pretty simple, it looks like an exit a year ago. In terms of its assets these are independently audited for it by PWC in reporting to its owners so its pretty much a look through organisation unlike anonymous posters. The firm has nothing to do with your lawsuit.