Lehman 'only seeking fees from BofA'

20 January 2011

Lawyers representing fallen financial giant Lehman Brothers have confirmed that they are not seeking damages other than costs incurred during the recent legal case with Bank of America (BofA).

According to Bloomberg, Manhattan judge James Peck had anticipated the possibility of fining the bank for breaking bankruptcy laws, but Lehman stated that it is looking to recoup $1.3 million in legal fees and $8.8 million in other expenses.

Mr Peck questioned the wisdom of pursuing "relatively" small amounts of money and told Lehman's representatives that he was wary of "making the tail of the case into the dog" at a hearing yesterday (January 19th 2011).

BofA was previously ordered to hand over deposits worth $500 million and $90 million worth of interest to Lehman, although the bank has signalled an intention to appeal against the earlier decision.

The news comes amid continuing speculation that whistle-blowing website Wikileaks is in possession of sensitive data on practices at BofA.

By Tony Aynsley

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