Municipal bondholders who extended $3.6 billion to fix Jefferson County, Ala.'s leaky sewer system are appealing a bankruptcy judge's ruling that allows county leaders to pay their bankruptcy lawyers and other legal expenses using residents' sewer-bill money that was collected for bondholders, Dow Jones Daily Bankruptcy Review reported today. Lawyers for Bank of New York Mellon, which speaks for the county's sewer bondholders, said on Thursday that it will challenge a ruling handed down by Bankruptcy Judge Thomas Bennett that bankruptcy attorneys charging bondholders for their time is fair.
