The company responsible for the biggest bankruptcy in US history has set up a new board as it enters the final bankruptcy phase – liquidation.
Lehman Brothers Holdings, once the fourth-largest investment bank, said it would start distributing $23 billion in cash to its creditors.
According to Reuters, the new board comprises seven experts in restructuring, derivatives and real estate who are not closely linked to the now defunct investment firm. These new board members will manage the liquidation of tens of billions of dollars in assets that will go to Lehman creditors.
Reportedly, two Goldman Sachs directors, the former CEO of Morgan Stanley’s Asia business and Thomas Knott, the founder of Akasha Capital, were among the seven new members appointed.
Lehman filed for Chapter 11 in 2008 and held assets of $639 billion when it collapsed.
