WSJcomBankruptcyBeat

On Thursday in Brooklyn, N.Y., Cengage Learning Inc. plans to ask for a judge’s final blessing for a reorganization plan that would cut $4 billion of the textbook publisher’s debt.

The proposal gives a majority of the company’s equity to a group of senior lenders and, crucially, provides junior creditors $225 million in cash or stock.

Former leaders at collapsed law firm Dewey & LeBoeuf LLP were indicted on fraud charges including grand larceny, securities fraud and conspiracy and have pleaded not guilty, The Wall Street Journal reports.

Manhattan prosecutors accused three former leaders of the defunct law firm Dewey & LeBoeuf LLP of engaging in a sweeping, years-long fraud to hide the firm’s desperate financial problems from banks and other creditors.

A Dallas mint in search of a buyer sparked the interest of a Texas separatist group, a lawyer revealed Wednesday in bankruptcy court.

A lawyer who helped market Mulligan Mint Inc.’s Texas plant, which made more than 30,000 coins per month before filing for bankruptcy in September, said he got a verbal offer for the plant from a group called the Republic of Texas.

Pizza chain Sbarro LLC is getting ready to file for bankruptcy as soon as next week, The Wall Street Journal