remained depressed

Bankruptcy judge rejects fire victims’ new attempt at full compensation

In December, a giant hedge fund known as the Baupost Group told a federal bankruptcy court judge that it could be entitled to additional compensation from Pacific Gas & Electric Co. because false company statements inflated its stock value ahead of its 2019 bankruptcy.

But wildfire victims who tried the same gambit were denied by the same judge on Friday and were told PG&E will not be required to add money to the underfunded Fire Victim Trust.

“Victims have been taken advantage of throughout this bankruptcy case,” Tubbs Fire victim and advocate Will Abrams said. “This (was) a way to maybe get a little more justice and a little more money going to victims who have suffered enough from these fires.”

Lawyers for thousands of fire victims joined Abrams in asking Judge Dennis Montali for time to compose a plan for PG&E to bolster its payments to fire victims, based on the impact its alleged misrepresentations had on stock prices.

But, Montali ruled that allowing victims to amend their claims went against legal precedent and could undo the bankruptcy agreement.

“I find that Mr. Abrams’ motion, though well intended perhaps, is absolutely without any foundation in the law and facts,”

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