Lehman reorganisation plan not “equitable” – LBIE
Plans by Lehman Brothers Holding Inc (LBHI) to disregard guarantee claims from its affiliates are not fair, according to one of the joint administrators of Lehman Brothers International (Europe) (LBIE).
There had long been speculation that parent company LBHI would seek to invalidate around $223 billion affiliate claims against it - as first reported by Risk - calling into question a board resolution signed by senior Lehman executives on June 9, 2005. This pledge appeared to guarantee the liabilities of 18 affiliates, including LBIE and Lehman Brothers Special Financing (LBSF).
On April 14, in a bankruptcy disclosure statement, LBHI confirmed its intentions to knock-out affiliate claims based
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