A total of 903 bankruptcy cases were submitted in Puerto Rico last month, with Chapter 13 — those applicable to individuals — leading the filings that resulted in a 3 percent year-over-year increase in activity, preliminary results released by research firm Boletín de Puerto Rico showed Thursday.
Of the total number of filings, 533 were from island residents seeking protection from the court to reorganize their finances. The report shows that the number remained the same last month as in September 2013. So far this year, some 4,833 individuals have turned to the U.S. Bankruptcy Court, representing a 6 percent year-over-year drop.
Meanwhile, the Chapter 7 category — or total liquidation — saw 352 filings, up 11 percent year-over-year in September. So far this year, liquidation cases are up 10 percent, with 3,145 cases filed in Puerto Rico.
A total of 17 Chapter 11 cases — or those allowing the debtor to work through their financial situation while still managing their business — were filed in September, pushing the total to 151 so far this year. The total represents a 15 percent year-over-year reduction.
Finally, there was only one Chapter 12 filing, a protection mechanism only available to farmers, on record for the month of September. A total of 20 such cases have been filed so far this year.