Critics view the decision as an example of moral/ethical 'bankruptcy' on the part of the administration.
The company 'filed for bankruptcy' [=officially asked to be legally recognized as bankrupt] in July.
He 'declared bankruptcy'. [=formally said that he was bankrupt in a legal document]
(..) -That there would be a million homeless Oh my god! Yeah, but we have nothing to do with Morgan-Stanley Yeah... Just tell the bankruptcy-court Morgan fails, all our accounts go under bow and ship That's just crazy! Morgan makes a sucker's bet and we pay their fucking gambling debt? (..)2015 The Big Short
(..) And the S&P picked up three points Jesus! Mortgage Meltdown continues sub-prime mortgage-lender New Century Financial Once the industry-leader by the way, filed for bankruptcy The company immediately, Ahem! good time for my voice to go Fired workers It's starting.... (..)2015 The Big Short