A U.S. Bankruptcy judge in Delaware has ruled that a trustee doesn't need to be appointed while Diamondhead Casino Corp. fights an involuntary petition for Chapter 7 bankruptcy.
Judge Laurie Selber Silverstein wrote in a 14-page opinion published Friday that the creditors of Diamondhead Casino Corp, represented by Chipman Brown Cicero & Cole, failed to show that an interim trustee is necessary.
Diamondhead Casino Corp. has been trying since the 1990s to build a casino resort on 404 acres in Diamondhead between Interstate 10 and the Bay of St. Louis.
On Aug. 6, a group of stockholders, who also are creditors, filed to put the corporation into Chapter 7 bankruptcy.
Silverstein said in September she would consider the case in early December.