NEW YORK, July 13, 2015 /PRNewswire/ -- James W. Giddens, Trustee for the liquidation of Lehman Brothers Inc. (LBI) under the Securities Investor Protection Act, today filed a motion with the Bankruptcy Court seeking approval to make a third interim distribution totaling $1.89 billion to unsecured general creditors with allowed claims.
If the third interim distribution is approved by the Court, the cumulative payout to unsecured general creditors will reach 35 percent and total approximately $7.8 billion. Total distributions to all creditors, which include unsecured general creditors and secured, priority, and administrative creditors, will come to more than $8 billion.
"With this third distribution to unsecured general creditors of nearly two billion dollars, we have come a long way from the beginning of the liquidation when the mere existence of a general estate was in doubt," Giddens said. "The wind down of the estate continues in earnest, and we will continue to resolve outstanding issues so that all remaining available assets can be fully distributed."
The potential for any additional distribution from the general estate is contingent on resolution of outstanding claims and the outcomes of various ongoing litigations.
In total, customers have received more than $106 billion, fully satisfying the 111,000 customer claims. Secured, priority, and administrative creditors have also received 100 percent distributions.
Together, the LBI customer and creditor distributions represent the largest distributions across the worldwide Lehman insolvency proceedings. These achievements would not have been possible without the assistance of the Securities Investor Protection Corporation and the Securities and Exchange Commission, and the oversight of United States Bankruptcy Court judges, the Honorable James M. Peck and the Honorable Shelley C. Chapman.
The Trustee is represented by Hughes Hubbard & Reed LLP.
SOURCE Office of the Trustee for the Liquidation of Lehman Brothers, Inc.