The emergency manager assigned to sort out Detroit’s finances - TopicsExpress

The emergency manager assigned to sort out Detroit’s finances called on Thursday for an investigation into possible fraud and mismanagement of the city’s pension funds. Kevyn D. Orr, the manager, called for the investigation by the city’s inspector general and auditor general as city union representatives were unhappily meeting behind closed doors to hear more details of health care provisions Mr. Orr wants them to accept as part of a deal seen as a last chance to keep the city from filing for bankruptcy. The move, if carried out, would be the nation’s largest municipal bankruptcy. Among the city’s myriad financial problems, its pension funds are underfinanced by about $3.5 billion, a spokesman for Mr. Orr said.

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