Lehman brothers liquidating
Lehman Brothers was a global financial services firm whose bankruptcy in 2008 was largely caused by — and accelerated — the subprime mortgage crisis.The firm was at the time the fourth-largest investment bank in the United States; its bankruptcy remains the largest ever. 15, 2008 Chapter 11 bankruptcy filing, Lehman Brothers had been in operation for 158 years.Within a month, Japanese bank Nomura bought the firms operations in the Asia-Pacific region (Japan, Hong Kong, Australia), and also its investment banking and equities trading businesses in the Middle East and Europe.Barclays purchased its North American investment banking and trading operations, as well as its New York headquarters.Lehman Brothers was once considered one of the major players in the global banking and financial services industries.It saw its start in Montgomery Ala., in 1850 as a dry-goods store and quickly grew into cotton and other commodities trading.As such, some say the firm had become a de-facto real estate hedge fund.When real estate values peaked and then began to falter in 2007-2008, Lehman Brothers became especially vulnerable.
“With the return of all customer property, no advances from the SIPC fund will be necessary to make securities customers whole,” SIPC said in a statement.
Leftover money in the estate will go toward repaying roughly 12,000 non-customer general creditor claims.
It remains unclear how much money will be available to those customers.
“The system to protect customer property worked, and that is good news for the former Lehman customers caught up in the bankruptcy,” Giddens said in the statement.
Lehman’s parent filed the largest Chapter 11 bankruptcy in history on September 15, 2008, with about 9 billion in assets.