CalPERS Loses $17M Lehman Debt Swap Bid

Law360, New York (February 10, 2010, 3:49 PM EST) -- The court overseeing the bankruptcy case of Lehman Brothers Holding Inc. has nixed a bid by the California Public Employees' Retirement System to deduct the $17 million CalPERS owes Lehman from the $433 million Lehman owes the pension fund.

On Tuesday, the U.S. Bankruptcy Court for the Southern District of New York denied a motion by CalPERS for relief from the automatic stay, which is currently preventing CalPERS from swapping out debts.

When Lehman declared bankruptcy in 2008, CalPERS held a prepetition claim of more than...
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