Durango asks court to overrule Grant Thornton's latest objection

By Jeff Pines

Washington, June 29 - Corporacion Durango SA de CV said Grant Thornton LLP's objection does not raise any new issues so it should be overruled for the same reasons as the auditing firm's previous objection.

Grant Thornton, an auditing firm, filed a supplemental objection after losing its bid to deny Durango protection from lawsuits in U.S. courts. Grant Thornton alleges the Mexican containerboard manufacturer wants immunity from lawsuits while it sues Durango in a Texas court for alleged fraud and negligent misrepresentation over financial statements for a company the Mexican company bought.

Another reason to deny the request is that Grant Thornton is not a creditor or a party to the action, Durango said.

Durango began Mexican bankruptcy proceedings on May 18, filed for section 304 protection in the United States on May 20 and obtained a temporary restraining order from lawsuits in U.S. courts on May 21. Its Chapter 11 case number is 04-13487.

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