Bankruptcy judge puts off decision on SunEdison independent examiner

Fri Apr 22, 2016 6:16pm EDT
 
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By Jessica DiNapoli

NEW YORK (Reuters) - A U.S. bankruptcy judge on Friday put off making a decision on SunEdison Inc's SUNE.PK request for an independent examiner at the company's first day in court.

The U.S. renewable energy company, which filed for bankruptcy protection on Thursday, did receive approval on Friday to tap some of the $300 million loan it hopes to secure to carry it through its bankruptcy.

SunEdison also asked the judge to appoint an examiner to review recent transactions, an unusual request for a first day hearing.

In its request, SunEdison cited the subpoena it received from the U.S. Department of Justice related to financing activities, a U.S. Securities and Exchange Commission investigation and a lawsuit from one of its affiliates.

Judge Stuart Bernstein of the U.S. Bankruptcy Court for the Southern District of New York put off making a decision on the request until next month, and said that other creditor groups may want to have input on what the examiner will investigate.

Examiners and the reports they produce can change the course of bankruptcy cases and are often used in high-profile, complex situations, like for the operating unit of Caesars Entertainment Corp (CZR.O: Quote).

(Reporting by Jessica DiNapoli; Editing by David Gregorio)

 
The headquarters of SunEdison is shown in Belmont, California  April 6, 2016. REUTERS/Noah Berger - RTX2973K