Bankruptcy judge allows PG&E to make $1.5B loan

A U.S. bankruptcy judge is allowing Pacific Gas & Electric Corp. to borrow $1.5 billion that the company says it needs to continue its operations.

At a hearing in San Francisco, Judge Dennis Montali approved the company's request for funding despite an objection that PG&E hadn't shown it urgently needs the financing.

PG&E sought bankruptcy protection earlier in the week in the face of billions of dollars in potential damages from catastrophic wildfires in California in 2017 and 2018.

Attorneys for wildfire victims urged Montali to prioritize their client's claims.

An attorney for PG&E, Stephen Karotkin, said PG&E wants to establish a trust fund to resolve all lawsuits from wildfire victims.