Judge Freezes NYC Taxi Medallions, Denies Seizure Request

A Manhattan judge has put a freeze on 87 medallions and taxi cabs owned by Gene Friedman, the “Taxi Kingpin,” but denied the seizure attempt made by CitiBank to collect on outstanding debt – for now.

Friedman owes CitiBank $31.5 million, and he used the taxi cab medallions as collateral when borrowing the money. The judge ordered Friedman to settle his debt with CitiBank by April 30, otherwise he would grant the seizure request. Friedman claims that he has been unable to pay back the loans due to the financial stress that Uber has put on the NYC taxi industry, and also because of the tightening of the bank’s lending practices.

Will Friedman be able to pay CitiBank what he owes in the next month? Or will Uber put the “Taxi Kingpin” out of business?

Photo Credit Visualhunt