The Daily Docket: GM Creditors Win $1.5 Billion Loan Challenge

A federal appeals court in New York on Wednesday said a paperwork mistake rendered a $1.5 billion bank loan made years ago to struggling General Motors Co. an unsecured debt, rather than a secured loan. The Wall Street Journal has the Daily Bankruptcy Review article here.

(Daily Bankruptcy Review is a daily newsletter with comprehensive coverage and analysis of emerging and in-progress insolvencies and turnarounds. For a two-week trial, visit our homepage, scroll to the bottom and click “try for free.”)

New Jersey Gov. Chris Christie tapped an emergency manager for daily operation of Atlantic City, WSJ reports.

A bankruptcy judge has ordered the Archdiocese of St. Paul and Minneapolis, its insurers and alleged victims of clergy sexual abuse to enter mediation, which could avoid protracted and costly litigation and ultimately leave more money to compensate victims, DBR reports.

Creditors of Revel AC Inc. lost a bid to sell the casino’s assets while they challenge its terms, Bloomberg reports.

Brazil’s Oleo e Gas Participacoes SA is cutting its workforce by 40%, Reuters reports.

According to DealBook, regulators on Wednesday talked about ways to improve the way too-big-to-fail financial institutions are singled out for more supervision.

Write to Melanie Cohen at [email protected]. Follow her on Twitter at @MelanieLisa