Bankrupt Tribune Co. investors have sued JP Morgan, Merrill Lynch, Citicorp, and Bank of America, for arranging $3.7 billion loans in the year 2007, even after knowing that they would not be able to repay the loan amount.

The lawsuit was filed in the New York Supreme Court in Manhattan claiming that the banks collected over $120 million in fees.

It is very much possible that the embattled chief of the Tribune Co named Randy Michaels has to step down from his post. The board of the firm is preparing to dismiss him from that post and will decide on his fate in the next board meeting scheduled for Tuesday.

A U. S based publisher, Tribune Company is likely to introduce a new retirement plan for its employees. Tribune at present, owns the Los Angeles Times and Chicago Tribune.

On Thursday, permission by court to take over the Chicago Cubs baseball team was awarded to the Ricketts family, for $845 million from the Tribune Co, a media conglomerate that is thriving to come out from bankruptcy.