Posted in Too Big to Fail Lehman is demanding millions of dollars from non-profits As widely reported, in the latest Lehman bankruptcy “fundraiser,” managers of the Lehman estate are now demanding millions of dollars from non-profit retirement homes, colleges and hospitals. Lehman claims that it was somehow “shortchanged” by multiple non-profit organizations that were forced to pay to exit derivatives that… Continue Reading
Posted in Too Big to Fail Acquisition May Be of Interest to Originators/Correspondents Nationstar Mortgage LLC, an indirectly-held, wholly-owned subsidiary of Nationstar Mortgage Holdings Inc., has completed its acquisition of approximately $63.7 billion in residential mortgage servicing rights from Aurora Bank FSB (f/k/a Lehman Brothers Bank) and its wholly owned subsidiary Aurora Loan Services LLC , a subsidiary of Lehman Brothers… Continue Reading
Posted in Mortgage Repurchase, Too Big to Fail ResCap and Ally Will Not Challenge Repurchase Claims In Part 1 of this series, we discussed the circumstances leading to the bankruptcy filing of Residential Capital (ResCap) , a residential mortgage loan originator and a subsidiary of Ally Financial Inc. (formerly GMAC.) In anticipation of the bankruptcy filing, ResCap’s board had approved the bankruptcy filing… Continue Reading
Posted in Mortgage Repurchase, Too Big to Fail Subsidiary of Ally Financial Inc. Files Chapter 11 Bankruptcy Residential Capital, a residential mortgage loan originator and a subsidiary of Ally Financial Inc. (formerly GMAC), filed for Chapter 11 bankruptcy protection in New York on May 14, 2012. Ally Financial was the financial arm of General Motors and, while taxpayers currently own only approximately 25%… Continue Reading