BILLINGS, Mont. (AP) — A federal judge is being asked to hasten the break-up of a Montana power cooperative that went bankrupt after a failed attempt to get into the power generation business.
The Southern Montana Electricity and Generation Transmission Cooperation serves more than 10,000 customers in central and eastern Montana.
Its members want to go their own way after building an $85 million power plant that has since sat idle. But creditors who loaned the money to build the plant near Great Falls want Southern Montana to stay together so they can be repaid.
In court documents filed Friday, attorneys for two of its members asked U.S. Bankruptcy Judge Ralph Kirscher to allow the prompt liquidation of Southern Montana.
That would block a reorganization plan offered by creditors including Prudential Insurance.