July 1, 2012
By Ivan Castano
Mexico’s bankruptcy law must be overhauled and more specialized judges hired to prevent insolvent corporations from flouting their creditor obligations.
This was the resounding message from corporate turnaround experts, during a LatinFinance panel event held in Mexico City on June 21. The event – The Rules of the Game in Mexico: The Corporate Workout Law in Practice – brought heavy condemnation on bankrupt Mexican glass-maker Vitro for pursuing a ‘fraudulent’ turnaround that has raised a slew of controversial headlines.
The case, which has also spawned big cross-border lawsuits, could change the way future Latin American corporate bankruptcies are decided in the US, M
A tough ruling on Mexican glassmaker Vitro’s bankruptcy appeal has triggered heated debate in financial markets – not least for its far reaching implications