Creditors go after Abengoa Bioenergy’s emergency bankruptcy loan

In Nebraska, some of Abengoa Bioenergy’s creditors who are owed more $3 million for corn and other products and who have filed suit to force the company to liquidate in order to pay off bad debts are going after the $41 million emergency bankruptcy loan. The bankruptcy judge dealing with the case has already allowed the company to tap some of those funds, part of which are meant to restart the ethanol plant in Ravenna despite poor crushing margins currently, and will seek permission from the court to draw down the rest of the loan next week.