Navillus Contracting is seeking court approval for $135 million in bankruptcy financing to help it complete two prominent construction projects in New York, the Wall Street Journal reported. In court papers filed on Nov. 21, Navillus sought permission from Judge Sean Lane to tap $13.5 million of the bankruptcy loan, provided by Liberty Mutual Insurance Co. Navillus says it needs the money “to ensure an orderly transition into chapter 11 without any attendant disruption to its construction operations.” A hearing on the matter is set for Wednesday, and Navillus will have to return to court for approval to draw down the remainder of the loan. Navillus sought chapter 11 protection earlier this month at the U.S. Bankruptcy Court in New York, just days after another federal court declined to halt a $76 million judgment owed to workers for allegedly skirting collective-bargaining agreements.
