Dime Bancorp Inc (fka DIMEQ)

[goldcanyon341]

The Aurelius Objection


http://www.kccllc.net/documents/0812229/0812229110622000000000003.pdf

Aurelius Capital, in their objection to the Modified Sixth Plan, objects to the status of "late filed claims". In paragraph 16 and Footnote 7 (an important footnote) they talk about the LTW's and how THMJW used section 726 to justify the LTW's claim.

In paragraphs 43-51 Aurelius sites cases showing that section 726 cannot be used to justify late filed claims, ie Section 12-A claims, and therefore those claims should be excluded from the plan.

Paragraphs 53 and 54 summarize previous courts positions on late filed claims. The objection that Aurelius raises is rather strong based on the court cases they site.

Questions:

It is my understanding that our claim was filed late, is this correct?

Was it the responsibility of the WAMU Board of Directors to file a claim on behalf of the DIMEQ holders, under the LTW agreement, as a class because DIMEQ did not have a trustee?

There is a neglect exception to 726. Did the BOD "neglect" to follow their duties under the LTW agreement, by not filing a claim on behalf of DIMEQ?

When this comes to trial, it is going to be an important factor if not resolved prior to that trial.