WASHINGTON, DC – June 7, 2013 – When the distributions commencing today to former securities customers of Lehman Brothers Inc. (LBI) conclude, all securities customer claims will be 100 percent fulfilled, according to James W. Giddens, Trustee for the liquidation of LBI. The Securities Investor Protection Corporation (SIPC) today applauded the hard work of Trustee Giddens and his attorneys in reaching this major milestone. With the return of all LBI customer property, no advances from the SIPC Fund will be necessary to make LBI securities customers whole.
This also means distributions from the LBI estate will stand as the largest return of property in history to former customers of a broker-dealer following a bankruptcy and liquidation proceeding.
SIPC President Stephen Harbeck said: "SIPC is very pleased with the Trustee's significant achievement in this historic case. The return of 100 percent of securities customers' property in the largest SIPA liquidation proceeding ever, and the prospect of future distributions to general creditors, including former employees, pension funds, financial institutions, banks, and Lehman affiliates, shows that the SIPA program continues to work well. We also recognize the significant efforts of U.S. Bankruptcy Court Judge James Peck, and the cooperation of Lehman Brothers International (Europe) (LBIE), and Lehman Brothers Holdings Inc. (LBHI) in reaching this important milestone."
Full details on the distributions can be found at http://www.lehmantrustee.com.