A District Court Judge here has reportedly barred telecommunications giant MCI, formerly known as WorldCom, from making further payments to the accounting, law and consulting firms steering it through bankruptcy that haven't already been approved through the budgeting system set up by the court.
Southern District of New York Judge Jed Rakoff this week ordered MCI and any firms under question to file affidavits explaining why his budgeting procedure wasn't followed and justifying the expenses, according to a report by the New York Law Journal, which said that Rakoff is questioning fees totaling more than $25 million.
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