The city of Chicago violated the U.S. Bankruptcy Code’s automatic stay by continuing to hold impounded vehicles after the owners filed Chapter 13 petitions, a federal appeals court ruled.When a debtor turns to the bankruptcy court to set up a repayment plan, the 7th U.S. Circuit Court of Appeals wrote last week, the city is obligated to return any vehicle that was impounded because of the debtor’s failure to pay traffic fines.Under Chapter 13, individual debtors keep certain property and pay all or part of …