Governor of the US state of Michigan has chosen an
emergency financial manager for Detroit, finalising a state takeover of the
city's finances.
Rick Snyder announced that he had chosen Kevyn Orr,
a lawyer and bankruptcy expert, for the position that will give him powers to
control all of the Detroit's spending.
Orr, who has worked on the restructuring of
Michigan-based carmaker Chrysler, said that he hoped to avoid a bankruptcy
filing for Detroit, which would rank as the biggest municipal bankruptcy in US
history.
Orr, who is expected to assume the role on March 25
will have wide-ranging authority to mend the city's budget, including
renegotiating labour contracts, selling of assets and even suspending elected
officials' salaries.
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