By Marietta Cauchi and Margot Patrick
Of DOW JONES NEWSWIRES
LONDON -(Dow Jones)- Major financial institutions including Barclays Bank PLC (BCS) and Morgan Stanley (MS), Abu Dhabi's sovereign wealth fund and hedge fund GLG Partners (GLG) have submitted claims against collapsed investment bank Lehman Brothers, according to the claims administrator's Web site.
In one of its claims, Barclays is demanding as much as $1.34 billion in respect of guarantees given under derivatives contracts; Morgan Stanley's largest claim for $1 billion is also connected to Lehman's role as counterparty on trades with the investment bank; other banks making claims on derivative contracts include Lloyds Banking Group's (LYG) unit Bank of Scotland, and Swiss bank UBS AG (UBS).
Pension funds including the New York State Teachers' Retirement plan also submitted hefty claims, while New York City's Department of Finance submitted a $627 million tax bill for unpaid commercial rent tax and general corporation tax going as far back as 1996.
The carnage caused by the collapse of Lehman Brothers just one year ago goes far beyond companies in the financial sector and ranges from debts as high as $48 billion claimed by the U.S.' Wilmington Trust Co. to just a fistful of dollars in the case of private investors and borrowers.
A hospitality event is behind the $126,000 being claimed by the Mandarin Oriental Hotel in Washington, D.C., where 30 people were scheduled to be entertained at Lehman's expense. London's Canary Wharf, where Lehman had its U.K. headquarters, is after more than $4 billion, including $2.6 billion in lost rent under Lehman's 30-year lease.
Lehman Brothers filed for bankruptcy protection overnight Sunday, Sept. 14, 2008, in the U.S. with its European operations being put into administration the following day. The collapse of one of the world's largest banks paralysed financial markets and heralded the disappearance of Bear Stearns while Bank of America (BAC) subsequently took over Merrill Lynch.
-By Marietta Cauchi and Margot Patrick, Dow Jones Newswires; +44 207 842 9241; marietta.cauchi@dowjones.com