Judge in Armstrong Case Plans to Resign

Newark, NJ, Jun. 14--It's still not known which judge will decide whether Armstrong World Industries gets out of bankruptcy, but it won't be U.S. District Judge Alfred M. Wolin. Wolin, 71, who sits in Newark, NJ, has announced plans to resign at the end of the month after 17 years on the federal bench and return to private law practice. Wolin was designated by the 3rd U.S. Circuit Court of Appeals in late 2001 to oversee the complex and immense bankruptcy cases of Armstrong and four other firms, all rooted in mounds of asbestos liability lawsuits. But questions about Wolin's impartiality in another case arose last fall, just as Wolin was set to rule on Armstrong's plan to emerge from bankruptcy, prompting the judge to hold off. Last month, the 3rd Circuit removed Wolin from three of the five asbestos cases saying that while Wolin had done nothing wrong, there was an appearance of a conflict of interest because Wolin has two aides who had represented asbestos claimants elsewhere. The 3rd Circuit said it would rule at some future date on whether Wolin could keep the Armstrong case. But now that ruling won't be necessary. In a letter announcing his decision, Wolin said the 3rd Circuit's action did not prompt his resignation. Rather, he said he has "long wanted to depart from public service and return to the private sector." A bankruptcy court judge last November recommended that Armstrong's plan be approved. But because of the way the plan would treat asbestos claims, the plan requires a district court judge's approval. Armstrong filed for bankruptcy in December 2000 to resolve its asbestos lawsuits. An Armstrong spokeswoman could not be reached this morning for comment on Wolin's resignation.