The Traderszone Network

Published in TZ Latest News 26 June, 2015 by The TZ Newswire Staff

U.S. bankruptcy judge refuses Molycorp request for loan

Molycorp Inc (MCPIQ.PK) failed to get approval from a U.S. Bankruptcy judge on Friday to borrow about $44 million at the rare earth producer’s first bankruptcy hearing. Judge Christopher Sontchi agreed with the objection by an affiliate of Oaktree Capital Management that Molycorp could not justify its need for the money, which would deepen the company’s insolvency. Molycorp, which filed for bankruptcy on Thursday, sought the money for its operations and to signal to customers and employees that the company would meet its commitments.