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Bondholders of gun maker Colt ripped into the bankrupt company's private equity owner in a court hearing yesterday, saying that the firm sped up its decline by starving it of cash and investment, Reuters reported yesterday. A Colt lawyer also told a U.S. bankruptcy judge that the gun maker may ditch its plan to sell itself to its current owner, Sciens Management, and wipe out $250 million of bond debt. Colt had planned to use the hearing to seek approval to borrow $20 million from its current lenders. John Rapisardi, an attorney with O'Melveny & Myers, which is representing Colt, said the company needed cash to make payroll.

California retailer Anna's Linens Inc. filed for chapter 11 protection on Sunday with plans to sell its chain of home goods stores, Dow Jones Daily Bankruptcy Review reported today. In court papers filed yesterday, Anna's Linens said that it is currently in talks with New York investment firm DW Partners LP to sell its retail chain in a deal it hopes will save employees' jobs. It has until Friday to confirm a bid, which could then be put to test at a bankruptcy-court-overseen auction. The retailer's backup plan, should a going-concern sale not pan out, is liquidation.

Mediterranean restaurant chain Olga’s Kitchen Inc. filed for chapter 11 bankruptcy protection on Thursday, Crain’s Detroit Business reported on Friday. Olga’s, founded in Birmingham, Mich., in 1970 by Olga Lorizon, owes millions of dollars to dozens of creditors, including $2.4 million to Citizens Bank, $1.2 million to food distributor Sysco Corp. and $103,843 to Detroit-based law firm Dickinson Wright PLLC. The restaurant chain also owes taxes to the state of Michigan and the Internal Revenue Service, though the amounts were not listed in the bankruptcy filing. Olga’s listed assets and liabilities of $1 million to $10 million in the filing.

RadioShack Corp. filed a bankruptcy liquidation plan explaining how the remaining assets of the once-iconic consumer-electronics retailer will be distributed, Bloomberg News reported on Saturday. The plan follows the sale of about 1,700 of the Fort Worth, Texas-based chain’s stores -- as well as the rights to its name -- to Standard General LP. The hedge fund plans to run the locations under a co-branding arrangement with Sprint Corp. In addition to buying the stores for about $145.5 million, Standard General purchased data on about 67 million customers in a $26.2 million deal for assets including the RadioShack name. The plan filed on Friday in bankruptcy court doesn’t include specific distribution amounts.

A top executive of bankrupt Corinthian Colleges Inc. on Friday detailed the for-profit higher education company's executive pay and recent financial dealings, as creditors began the hunt to find money to repay what they are owed, Reuters reported on Friday. Corinthian Chief Financial Officer Robert Owen spent four hours in a windowless government conference room discussing under oath everything from fraud allegations to questions about a $125.02 expense payment to an executive. In April, Corinthian closed its remaining campuses without warning. It filed for bankruptcy in May. Corinthian has released thousands of pages of documents, including details of payments to Chief Executive Officer Jack Massimino. He received cash payments of $1.03 million in the year before the bankruptcy, according to court filings. The company agreed to pay him a $900,000 salary in 2014, according to securities filings. The disclosures also showed that Corinthian paid out nearly $1 million in bonuses to executives, directors and managers in late June 2014. The bonuses were paid less than two weeks after regulators tightened oversight of the company, a move that hastened its demise.

U.S. gun maker Colt Defense LLC said it has filed for chapter 11 bankruptcy protection and that its current sponsor, Sciens Capital Management LLC, has agreed to act as a stalking-horse bidder, Reuters reported today. Colt said that it intends to continue normal business operations through the accelerated sale process with the help of $20 million in credit facilities that its existing lenders have agreed to provide. Sciens Capital proposed to buy all of Colt's assets and assume secured liabilities and those related to employees, customers, vendors and trade creditors, Colt said. Sales of Colt's modern sports rifles and handguns fell 30 percent last year and its cash dwindled to $11.1 million by May 22, according to regulatory filings.

The Erie (Pa.) Otters will be sold at auction with prospective buyers in the Otters case submitting their offers by June 24 and will be unable to bid the day of the auction, now set for July 10 in U.S. Bankruptcy Court in Erie, the Erie Times-News reported yesterday. Last-minute bids are standard in most bankruptcy sales, but Bankruptcy Judge Thomas P. Agresti set the June 24 deadline because of the complexity of the sale, according to newly filed court records. Judge Agresti said that he primarily wants to give the Ontario Hockey League enough time to vet the prospective buyers before July 10. Agresti and the OHL must approve any deal.

Nirvana, a Forestport, N.Y.-based water bottling company, and affiliates Millers Wood Development, Nirvana Transport and Nirvana Warehousing, on June 3 filed for chapter 11 protection, TheStreet.com reported yesterday. Bankruptcy Judge Diane Davis on June 4 granted joint administration of the cases as well as interim use of cash collateral. A final hearing is set for June 15. According to a first-day affidavit from president and co-founder Mozafar Rafizadeh, the company hopes to sell its assets through a competitive bidding process, but it has yet to file a bidding procedures motion.

Most of the data belonging to 117 million RadioShack customers is safe, CNNMoney.com reported yesterday. The bankrupt chain originally proposed selling the information to raise money and repay creditors. But that sparked a backlash from suppliers including AT&T and Apple, as well as the Federal Trade Commission and consumer advocates who argued that the electronics retailer had promised customers it would protect their data. RadioShack struck a deal with a coalition of 38 state attorneys general to destroy most of RadioShack's consumer data, and stipulated that no credit or debit card account numbers, social security numbers, dates of birth or even phone numbers would be transferred. The agreement was part of the sale of all of RadioShack's assets for $26.2 million, and was approved by the bankruptcy court late last week. Most of the assets, including some limited customer information, were purchased by General Wireless, a subsidiary of RadioShack's largest shareholder, which intends to keep 1,750 of the stores open with the RadioShack name and operate its online business. General Wireless agreed not to sell the customer data it is buying to a third party, and to comply with RadioShack's previous privacy promises.

A reorganization plan intended to shepherd Chassix Holdings Inc. out of bankruptcy protection is facing headwinds from unsecured creditors, who say that the reorganized auto-parts maker has been undervalued by $150 million, Dow Jones Daily Bankruptcy Review reported today. In an objection filed on Wednesday in bankruptcy court, lawyers for unsecured creditors said that the difference in valuation benefits the company's bondholders at the expense of its unsecured creditors, who are currently slated to recover between 5 percent and 16 percent of what they are owed. In its own court papers, Chassix has called the plan both fair and reasonable.