Lehman to sue JP Morgan for 'lost value'

clock

Lehman Brothers is to sue JP Morgan Chase for billions of dollars of 'lost value'.

Lehman Brothers Holdings, which is managing the remnants of the fallen bank's assets, claims that JP Morgan 'siphoned off' the cash in the days immediately before its high profile collapse. JP Morgan was Lehman Brothers' main short-term lender before it defaulted in September 2008. The lawsuit claims JP Morgan's demanding of $8.6bn of collateral as credit markets tightened made a significant contribution to the collapse. Lehman argues JP Morgan knew of its precarious position and threatened to deprive the bank of critical clearing services unless it posted the $8.6bn. "On the brink...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

Digital bank Zopa gains targeted support authorisation

Digital bank Zopa gains targeted support authorisation

Receives regulatory approval for investment products

Sophia Panayi
clock 19 May 2026 • 1 min read
FCA and BoE called to provide certainty on tokenisation regulation

FCA and BoE called to provide certainty on tokenisation regulation

Tokenisation set to boost efficiency

Linus Uhlig
clock 18 May 2026 • 2 min read
Revolut Trading gets green light to expand into MPS and private wealth services

Revolut Trading gets green light to expand into MPS and private wealth services

Exploring private bank launch after 'milestone'

Michael Nelson
clock 15 May 2026 • 2 min read