Replies to post #11535 on Lehman Brothers Financial SA (LEHNQ)

[marayatano]

Submitting when hedgies bought what and when has happened in other bankruptcies as well.

This is just like any other bankruptcy. The template is always the same. There is no cap on distribution on an allowed claim.

The only time you see someone getting less than what they are claiming is when the file a settlement in the court docket stating such.

The siphoning from lower subordinate classes is all boil plate. That is the same in all bankruptcies.

If you have played bk's before, then this is all routine, with slight differences.

imo

[cottonisking]

Your point is well taken. Paulson and group would make too much money from this LBHI BK if they received 100% of their allowed claims over time with a cash and stock distribution.

Just look at their profits from a 21% - 26% recovery:

$750 Million plus

http://www.distressed-debt-investing.com/2011/04/how-much-money-paulson-has-made-in.html

I hope that you are right!