Lehman Re Sues Lehman Bros. Finance Over Collateral

Law360, New York (August 24, 2010, 5:27 PM EDT) -- Liquidators for Lehman Re Ltd. have filed an adversary suit alleging Lehman Brothers Finance SA improperly redeemed millions of dollars worth of assets LBF was supposed to transfer to Deutsche Bank Trust Co. Americas to secure Lehman Re's obligations under a reinsurance agreement.

In addition LBF is wrongfully asserting an interest in collateral that it did transfer to DBTCA on Lehman Re's behalf, which is interfering with the liquidators' ability to administer Lehman Re's estate, the liquidators said.

The joint provisional liquidators for Bermuda-based Lehman Re...
To view the full article, register now.