NEW YORK (Bloomberg) — General Motors Corp.'s unwanted businesses in bankruptcy won conditional court approval for the largest manufacturing reorganiSation in history, as a judge said the rights to a potential $1.5 billion in lawsuit proceeds would be determined later.

US Bankruptcy Judge Robert Gerber in New York yesterday said lawyers for Old GM must make changes to its so-called disclosure statement, which describes the terms of a liquidation and allows creditors to vote on it.

"The disclosure statement is conditionally approved," Gerber said, telling remaining objectors that "this case can not be run for the needs and concerns of any subset of GM's thousands of creditors". He overruled objections alleging a lack of information about issues such as asbestos claim amounts and personal-injury claims.

Gerber deferred ruling on a bid from unsecured creditors to claim the potential proceeds from a lawsuit seeking to recover $1.5 billion. The US objected, saying its loans to GM gave it a so-called super-priority administrative claim that must be paid in full before the Chapter 11 plan can be confirmed.

Unsecured creditors also objected, saying the plan didn't have enough information about who will manage the wind-down.

"People say to me, 'GM is over,' but according to bond prices there is $12 billion to $14 billion to distribute under the plan," said Thomas Moers Mayer, a lawyer for unsecured creditors. "That's a real case."