The main U.S. hedge fund lobbying group is deepening its involvement with the Lehman Brothers bankruptcy, seeking to break a logjam that is keeping billions of dollars of hedge fund assets frozen.
The Managed Funds Association, which earlier this month called on British regulators to speed the liquidation process, has sat down with the head of the London PricewaterhouseCoopers team that is overseeing the Lehman bankruptcy. The meeting in New York with Tony Lomas, at which he sought to clear the “considerable confusion and frustration for some regarding the U.K.’s administration process,” attracted some 200 members of the MFA.
Lehman Brothers International Europe’s bankruptcy has left as much as US$70 billion in prime brokerage assets frozen, and PwC has indicated it could take months, if not years, to determine who is entitled to what.
Lomas promised the MFA members that his firm was proceeding “as expeditiously as possible under our legal authority.”