Securities Plaintiffs Object To Refco Bankruptcy Ruling

Law360, New York (August 22, 2006, 12:00 AM EDT) -- A court order permitting bankrupt futures brokerage Refco Inc. to pay off $127.5 million in intercompany claims has raised the ire of the lead plaintiffs in a securities suit pending against the company.

The plaintiffs filed an objection to the Aug. 10 order on Monday in the U.S. Bankruptcy Court for the Southern District of New York, claiming that the court erred in granting Refco’s motion.

The ruling allowed Refco subsidiary Refco Securities LLC to repay Refco Capital LLC about $127.5 million, a debt incurred as...
To view the full article, register now.

Law360 UK

UK Financial Services

Read Our Latest UK Legal News & Analysis

Financial Services Law360 UK and Insurance Law360 UK provide breaking news and in-depth analysis on U.K. and European Union regulation, enforcement, legislation, and litigation involving banks, investment firms, insurers, and more.