Infamous Bankruptcy Case Close to Resolution

The largestbankruptcy case in history is making great strides towards its resolution.

According to a press release issued by the Lehman Brothers Holdings Inc. this week, the company has filed a new $65 billion bankruptcy plan. Since it was approved by its major creditors, namely Goldman Sachs Inc., the plan is expected to be approved in bankruptcy court as well. However, since this is the third plan that has been devised since Lehman Brothers filed three years ago, there is no guarantee that the judge will approve it.

The plan includes several new tweaks, including an increase in derivative payouts to creditors including Morgan Stanley (MS), Goldman Sachs (GS) and Silver Point Capital LP, a hedge fund. One of the larger creditors, the Paulson Group, would get a lower payout than originally promised. In total, $14.2 billion will be distributed in derivative payouts, while giving $34.5 billion to the treasury claim.

Is your company in danger of closing its doors? If so, you need to contact a Chicago bankruptcy attorney today to learn how to protect your company and its assets.