Corporate foreign exchange news

PwC set to appeal Lehman fund repayment decision

Monday, 24 August 2009 13:57:44 GMT

PricewaterhouseCoopers (PwC) is set to appeal a court decision which rejected its plans to repay funds held by Lehman Brothers back to shareholders.
The proposal was rejected by the court and opposed by shareholders primarily because of PwC's plan to pay administrative fees, legal costs and wages using money held in the funds.
Investors opposed to the repayment plan successfully argued that the $14 billion (£8.4 billion) held in hedge funds should not be treated as Lehman Brothers' assets and should not be used to pay administrative costs.
Speaking to the Guardian, PwC partner Tony Lomas commented: "We will most likely appeal. We are also considering ways in which the plans could be modified to deal with the observations that have been made."
Meanwhile, a landmark case is also picking up steam in the US as customers of Standard Chartered launch an action against the group to reclaim up to $7.5 million that was charged in fees for investing in Fairfield Sentry, one of Bernard Madoff's biggest feeder funds.ADNFCR-2522-ID-19325974-ADNFCR
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