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Around the Region

A123 bankruptcy plan gets final OK

The A123 battery plant in Livonia, Mich.

Jeffrey Sauger/Bloomberg News/File 2010

The A123 battery plant in Livonia, Mich.

WILMINGTON, Del. — A bankruptcy judge in Delaware has given final approval to the reorganization plan of failed battery maker A123 Systems Inc., which was the recipient of a $249 million Department of Energy grant.

Monday’s hearing resolved minor outstanding issues following the sale of most of the company’s assets to the US arm of the Chinese auto parts conglomerate Wanxiang Group for nearly $257 million.

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One issue was approval of a settlement involving the Waltham, Mass.-based company, now known as B456 Systems, its official creditors committee, and Milwaukee-based auto parts maker Johnson Controls Inc.

The committee had suggested that Johnson Controls improperly lobbied to torpedo the sale to Wanxiang after losing out on the bidding.

Johnson Controls has agreed to pay $200,000 to the bankruptcy estate, and the committee will drop any claims against it.

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