Montreal, Maine and Atlantic, whose oil train exploded in Quebec town, killing 47, files for Chapter 11 bankruptcy protection amid service disruptions, likely lawsuits, cleanup costs

BANGOR, Maine , August 7, 2013 () – Maine-based railroad files for bankruptcy protection after Quebec tragedy

The Maine-based railroad whose oil train caused a fire and explosion that claimed 47 lives in a small town in Quebec has filed for bankruptcy protection.

Montreal, Maine and Atlantic filed for Chapter 11 bankruptcy protection on Wednesday.

Company Chairman Ed Burkhardt said previously that a bankruptcy filing was likely because of service disruptions because its rail line remains closed in Lac-Megantic, Quebec. The Hermon-based company also faces lawsuits and enormous cleanup costs following the July 6 derailment and disaster in Lac-Megantic.

The train with 72 tankers full of crude oil was unattended when it began rolling, eventually tearing into the town. Burkhardt blamed the train's operator for failing to set enough hand brakes.

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