FirstBank Takes 2nd Shot In 2nd Circ. In $62M Lehman Claim

Law360, New York (April 19, 2017, 8:36 PM EDT) -- FirstBank Puerto Rico returned to the Second Circuit on Wednesday in its attempt to recover $62 million in securities, or their market value, from the estate of Lehman Brothers Inc., saying it was covered as a customer under the Securities Investor Protection Act, and that LBI, as a collateral custodian, remained liable.

FirstBank put up the securities as collateral for interest rate swaps transactions with Lehman Brothers Special Financing Inc., a subsidiary of LBI. LBSF sold most of the securities to LBI under repurchase agreements, which...
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Case Information

Case Title

Lehman Brothers Inc.


Case Number

16-2547

Court

Appellate - 2nd Circuit

Nature of Suit

3422 STATUTES-Bkrup Appeals 801

Date Filed

July 22, 2016

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