Four cities in California and six other cities nationwide will be seeking for bankruptcy lawyers soon, according to a prediction by John Moorlach.
Moorlach, the accountant who predicted Orange County’s bankruptcy in 1994, said as many as 10 cities will look for court protection from creditors next year under Chapter 9 of the bankruptcy code, as public finances get worse.
Although he estimated these numbers based on general economic conditions, Moorlach, now chairman of the Orange County Board of Supervisors, didn’t mention the California cities that may file for bankruptcy. Will Corona be one of those municipalities? Is Temecula next? Let’s hope that this coming year, Riverside County cities escape the pain of bankruptcy, so that we can all have a happy new year!
