Bundesbank Loses Bid For Control Of $4.1B Lehman Notes

Law360, New York (August 1, 2011, 7:49 PM EDT) -- A London judge ruled Friday that Germany's Bundesbank cannot take control of a $4.1 billion pool of securitized debt created by Lehman Brothers Holdings Inc. just before the New York investment giant's 2008 collapse.

At the heart of the dispute is whether Excalibur Funding No.1 PLC, a special purpose investment vehicle formed by Lehman three months prior to its collapse, defaulted on an agreement that would have handed senior noteholder Bundesbank control over the packaged assets.

For months, the pair have been fighting over billions of...
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