Lehman Brothers Australia Seeks Ch. 15 Protection

Law360, New York (January 10, 2012, 4:42 PM EST) -- Lehman Brothers Holdings Inc.'s Australian subsidiary on Friday filed for Chapter 15 protection in a New York bankruptcy court, saying it could have $1.3 billion in contingent claims against its former parent to help offset investor suits against it in Australia.

The company is seeking U.S. court recognition of its Australian bankruptcy filing as the foreign main proceeding, meaning Australia law would be primary.

According to Marcus Ayres, Lehman Brothers Australia Ltd.'s liquidator in the Federal Court of Australia bankruptcy proceedings, in 2007 LBHI bought Grange...
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