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Politics & Government
Sat July 6, 2013
Detroit files lawsuit against one of its insurers
DETROIT (AP) - Detroit has filed a lawsuit against an insurance company the city says is improperly withholding $11 million a month in casino payments and taxes.
According to The Detroit News, the suit against Syncora Guarantee Inc. was filed on Friday.
Emergency Manager Kevyn Orr says the casino revenue Syncora is holding up each month is enough to pay Detroit firefighters for two months.
A representative for Syncora declined to comment when contacted by the Detroit Free Press.
The city wants the court to prohibit Syncora from taking action that limits the city's ability to access casino money.
Wayne County Circuit Judge Annette Berry granted Detroit's request for a temporary restraining order stopping U.S. Bank from refusing to make payments to the city.
The judge set a July 26 hearing.