Lehman Brothers Financial SA (LEHNQ)

[cottonisking]

LBHI is okay if another Lehman entity pay their class 10 subordinated claims:

We know that the ECAPS'joint liquidator paid LBHI's class 10a ECAPS 4 and 5 subordinated claims last year.
LBHI does not count that payment. So if LBIE makes a payment to the CTs LBHI will do likewise.


https://www.globenewswire.com/en/news-release/2020/10/19/2110570/0/en/Lehman-Brothers-UK-Capital-Funding-V-LP-Notice-of-Interim-Payment.html

". LBHI’s filings demonstrate that LBHI did not make payments on

account of LBHI’s own equity or to holders of subordinated claims. See ECF No. 60878
(disclosing cumulative distributions by LBHI by class pursuant to its Plan to date). LBHI cannot
do so under the Plan unless all senior classes of creditors are first satisfied in full. LBHI is
complying with the provisions of Bankruptcy Code section 510 as incorporated into and
implemented by the Plan.
"

$$$$$

"WEIL:\97841486\4\58399.0011
(ii) the Plan, and (iii) information regularly made publicly available by LBHI. Regardless, they
must be charged with knowledge of the operative documents for their purported investments, the
relevant Court documents governing these cases, and the relevant filings made by the Plan
Administrator in these cases. LBHI’s filings demonstrate that LBHI did not make payments on
account of LBHI’s own equity or to holders of subordinated claims. See ECF No. 60878
(disclosing cumulative distributions by LBHI by class pursuant to its Plan to date). LBHI cannot
do so under the Plan unless all senior classes of creditors are first satisfied in full. LBHI is
complying with the provisions of Bankruptcy Code section 510 as incorporated into and
implemented by the Plan.
9. Finally, the Motion to Compel should be denied to the extent that it seeks
relief that is impossible to grant, including LBHI’s control and direction of all of its subsidiaries.
LBHI is not aware of any of its subsidiaries making any payments on account of LBHI’s equity
or on account of LBHI’s subordinated claims. LBHI is not aware of any motivation for any of its
subsidiaries to do so. (And neither the Wossileks nor the Joinder Parties have pointed to any past
instance of such actions or any possible motivation for such actions in the future.) But as the
Court and the general public knows, LBHI does not and cannot control all of the subsidiaries that
it controlled prior to the commencement of LBHI’s chapter 11 case; many subsidiaries are under
the control of foreign administrators and governed by the laws of foreign insolvency
proceedings. In any event, the Subordinated Guarantees do not purport to restrict any of LBHI’s
subsidiaries from making payments of claims against or equity in those subsidiaries, as the
Wossileks and Joinder Parties seem to believe. As noted above, the Wossileks and the Joinder
Parties have no claims against LBHI’s foreign affiliates.
08-13555-scc Doc 61063 Filed 03/05/21 Entered 03/05/21 12:50:13 Main Document
Pg 5 of 11"