Lehman Brothers Securities N.V. in Curaçao to complete bankruptcy proceedings and close down 18 May 2015
WILLEMSTAD – With the final cash distribution to be executed on 19 May 2015, Lehman Brothers Securities N.V. in Curaçao (Dutch Caribbean) will be one of the first Lehman Brothers companies worldwide to finalize its bankruptcy proceedings. The final cash distribution to the creditors will be made by bankruptcy trustee Michiel Gorsira of law firm VanEps Kunneman VanDoorne.
Following the worldwide collapse of Lehman Brothers in September 2008 in New York, Lehman Brothers Securities N.V. in Curaçao was declared bankrupt by the Curaçao bankruptcy court in January 2009. The main activity of LBS was the issuance of complex financial structured products – warrants and certificates. At the time of the bankruptcy LBS had only USD 400 on its local bank account. Gorsira, who co-led the international team of advisors together with co-trustee Robert van Beemen: “In January 2009, we had no funding and insufficient access to information and documents. Six and a half years later, we have settled intercompany claims of more than USD 11 billion, valued the LBS derivative portfolio of 332 securities at approximately USD 900 million, and have paid out more than a USD 1 billion to its creditors.”
In the summer of 2014, the first discussions with creditors and market participants took place to determine whether the remaining intercompany receivables against other Lehman companies could be sold, in order to make one final cash distribution. These intercompany receivables varied from USD 1.2 million to USD 5.2 billion. Eventually, the claims were sold in April and the final cash distribution will be made on 19 May 2015. Gorsira: “Although the settlement of the Lehman bankruptcy will continue in New York, London, Hong Kong and various other jurisdictions, with the final cash distribution to be made next week, the Curaçao LBS bankruptcy comes to an end.”