Creditors of the defunct Wall Street bank Lehman Brothers have been dealt a blow after the High Court rejected a scheme put forward by the administrators for the firm's European arm.
The scheme of arrangement proposed by PricewaterhouseCoopers (PwC) sought to speed up the process by which assets were returned to certain creditors. Steven Pearson, joint administrator at PwC, calls the judgment "disappointing" and says the company will analyse the ruling together with a legal team to consider whether to appeal. The scheme of arrangement covers $9bn (£5.5bn), which PwC warns could now take years to return to clients. Meanwhile last week the Financial Ombudsman (FoS) agreed to the FSA's request to defer by three months its decision on complaints relating to Lehman ...
To continue reading this article...
Join Professional Adviser for free
Signup and gain exclusive members-only insights
- Unlimited access to real-time news, industry insights and market intelligence
- Stay ahead of the curve with spotlights on emerging trends and technologies
- Receive breaking news stories straight to your inbox in the daily newsletters
- Make smart business decisions with the latest developments in regulation, investing retirement and protection
- Members-only access to the editor’s weekly Friday commentary
- Be the first to hear about our events and awards programmes
