Holders of Lehman Brothers backed bonds and structured notes recently received a Notice of Approval of Disclosure Statement; Establishment of Record Date; Hearing on Confirmation of the Plan and Procedures for Objecting to Confirmation of the Plan; and Procedures and Deadline for Voting on the Plan (Confirmation Hearing Notice). The amended plan indicates Lehman Brothers debt holders will receive approximately $.21 for each dollar invested. The record debt for receiving payment is August 1, 2011 and holders have until November 4, 2011 (EST)to approve or object to the Plan.
The Confirmation Hearing Notice may be found here.
Once the payment is received, investors will still have lost approximately 79% of their initial investment (ignoring any interest payments). As much of this debt was recommended and sold in the form of poorly disclosed proprietary structured products (Principal Protected Notes) or at a time when market analysts believed there was a chance Lehman could fail, individual investors may have a claim for their remaining losses.
The attorneys at Colling Gilbert Wright and Carter have filed and litigated dozens of Lehman Brothers related claims. If you have lost money in a Lehman Brothers’ backed investment, please contact our office for a case evaluation. Thank you.