Replies to Post #184355 onMr Cooper Group Inc (COOP)

Replies to #184355 on Mr Cooper Group Inc (COOP)

04/02/10 4:38 PM

Jestiron – Good point!

You are absolutely on course. I did not mean to describe intervention as something without power. If the EC cannot sway the BOD with their desires and opinions, they have the blessing of the court to file a flat tire or a blown engine (intervention) and hope that the court will rule in their favor on any filing that affects WMI. The blessing of the court to intervene is what gives the EC its true power, but numbers in our favor enhance that power. If the EC files an intervention, it will be because they could not get the BOD to agree with them. That is how they will voice their approval or disapproval. It will be up to the court at that time. Walrath will firstly rule according to law. If the decision simply requires her judgment, she will rule in a way to avoid an appeal. Commons are at the mercy of the numbers Solomon will produce.

Contrarily to the above and without intervention, the BOD is all-powerful as long as they follow court procedure. It is the exact reason they did not want the EC to stand. It is the reason there is no objection to the Creditor’s Committee. If WMI does not attempt to pay Creditors, the judge will frown immeasurably and will allow WMI to cancel commons if there is no intervention. She will anyway if Solomon cannot find the numbers.

As you can see, many of the posters on the board voice their opinions and desires correctly, but have their courtrooms combined. The Delaware court will only hear filings on reorganization. I do not wish to participate in other cases similar to DC. WMI started for the jugular there, but are already waning in favor of a POR that cancels commons. If the Delaware court approves a POR that cancels commons, WMI will withdraw the case in DC. Such is the way and pity of corporate law. IMO

I cannot imagine Joyce abandoning ship for any reason. To have a member of the EC gone so early in the game is not a very comforting feeling. However, in the end, it will not matter. What matters will be the numbers that Solomon will produce. They are our only hope in Chapter 11 BK. EOM

Lawrence 147

04/02/10 4:49 PM

#184387 RE: Jestiron #184355

$24.00

Jestron;

David was correct to a point and that is why in my post the other day I said we must get things in order first.
First we must get Solomon in to give a true and accurate valuation of the company and what it could reasonably expect to recover through litigation. I feel the bank was seized through unlawful means and was most certainly sold for far less than could have been reasonably been expected, had the FDIC conducted a proper auction of the bank or its assets.
2nd we must payoff or at least show the court how and when the creditors would be paid off and show that the EC could continue the cause with WMI’s own money. This would get Weil out of the way and open the door for the EC to take command.
3rd we must find a way to replace the current BOD, if this means finding malfeasance on their part or other either related or non-related criminal activities then so be it, but they must absolutely go. Appointing a trustee could be one way to go.
4th we need a finding as to what did actually cause the seizer of WMB and other assets.
5th we need a finding if the other assets that belonged to the holding company were lawfully seized and sold.
6th we need a finding if the assets were lawfully seized.
7th we need a finding of what does and does not belong to WMI.

By the time we are at this point it will be to late for one party or the other.

We need to accomplish these things before any true negotiations will ever occur. Until then it is just lawyers sucking up every dime they can. Rosen really blew it lying to the judge and submitting his POS POR. Yes he played her like a guitar but it will cost him dearly in their ability to remain in control of these proceedings. Our judge is not tupid and she has recognized the need for an equity committee to protect the interest of those affected by some very underhanded dealings.