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Attorney General Schuette to fight Detroit bankruptcy pension cuts

LANSING (WKZO) -- Michigan Attorney General Bill Schuette is set to fight on behalf of city of Detroit retirees who could see their pensions cut as part of the Motor City's Chapter 9 bankruptcy.  Schuette said he was "deeply disappointed" by the ruling by U.S. Bankruptcy Judge Steven Rhodes that pensions can be cut as part of the city's restructuring.  Rhodes noted the Michigan Constitution prevents pensions from being cut in the bankruptcy, but added Detroit's filing is in federal court and federal law allows for it.

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