David Warfield writes article on Detroit bankruptcy for St. Louis Business Journal

Financial Restructuring co-chair David Warfield wrote a recent guest column for the St. Louis Business Journal titled, “Could a Detroit-style bankruptcy happen here?” The column appeared in the “Your Turn” section of the Sept. 6 edition of the paper.

In the column, Warfield answered the question posited in his headline: No, it’s unlikely that Detroit's massive bankruptcy would beset St. Louis anytime in the immediate future.

“But every informed citizen — particularly those working in the finance or government sectors — should know some critical details about municipal bankruptcies,” Warfield wrote. “In fact, anyone who buys, sells, or brokers municipal bonds, or who is involved in the public pension industry, should be keenly interested in the Detroit case.”

In the article, Warfield offers answers to the following questions surrounding Detroit’s bankruptcy.

• Can municipalities really file for bankruptcy? 
• Can Missouri and Illinois municipalities file for - bankruptcy?
• Can public pensions be modified in Chapter 9? 
• Can municipalities really avoid paying general obligation bonds?
• How long does Chapter 9 take?
• Does Chapter 9 really work?
• Could it happen here?