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survivor Spain

11/12/08 8:53 AM

#39903 RE: WaS #39897

Yes, it's possible:

Your question is a very valid one and it's probably one of the reasons why the 4.4B hearing has been delayed so far.

But bear in mind that:

a) The records under JPM control are the WM Bank, not the WM Inc bank. Therefore the current WM Inc administrators have full access to the rest of subsidiaries information belonging to them.

b) As far as I can see, the only WM Inc asset "controlled by JPM/WM Bank" whose records may be difficult to access are the details of the WM Bank accounts where WM Inc had distributed the 4.4B - owned by WM Inc - but deposited in WM Bank (now JPM). The aparent delay related to the 4.4B hearing was precisely the difficulties that JPM created to WM Inc to provide these details to WM Inc. I doubt JPM can keep this out of reach when the judge is demanding it.

c) Yes, with delay and postponed, but WM Inc is due to report details of its balance sheet and estimated P/L and cash flow evolution to the court by not later than 2nd dec. (See court documents)

d) As example of how current WM Inc administrators have access and control of its subsidiaries numbers you can take the motion they presented yesterday do transfer several $M of cash to one of its inssurance subsidiaries that - according to the motion - is worth 400M$. ( WM Inc has hundreds of subsidiaries, although sadly I am sure not many of them are worth so much).

Your are right about how much more difficult the access to WM Bank information is now for WM Inc. .. but now it's the court who has to preserve the rights of WM Inc (debtor) and its creditors the one demanding or eventually enforcing more transparency in this matter.

As a side comment to point b) I personally - just an opinion - think that other possible reason for the delay of the court to force WM Bank to give access to the 4.4b may be that there are conversations behind the scene that we are not aware of.
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alien-IQ

11/12/08 9:06 AM

#39904 RE: WaS #39897

It seems to me that, if JPM knew that the numbers reflected in WAMU's books gave clear evidence of an insolvent company, JPM would and should be more than eager to give them access to the records and put this matter to rest once and for all.

The fact that access to the records seems to be difficult suggest there may be something in those records that can hurt JPM's position in the takeover.

Of course...I could be wrong.