Lehman Brothers bankruptcy adviser fees pass $1 billion mark

19 October 2010

More than $1 billion has now been spent on advisory fees to lawyers and managers in regards to the bankruptcy proceedings of Lehman Brothers.

A total of $51.8 billion was paid out in September by Lehman Brothers Holdings, taking the overall total past the $1 billion mark two years after the collapse of the bank, reports Bloomberg.

Restructuring firm Alvarez & Marsal LLC is the leading recipient of the funds, taking more than $350 million in interim management fees so far.

Bryan Marsal, co-founder of the company, said: "The Lehman bankruptcy dwarfs in size and complexity any other bankruptcy in history.

"Our creditors recognize this and also recognize the value they are receiving."

Earlier this year, former British chancellor Alistair Darling said that he was left very surprised when the American government decided against saving Lehman Brothers as the bank headed into bankruptcy at the height of the financial crisis in September 2008.

By Claire Archer

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