Client Money Update - Applications filed for permission to appeal - 12/08/2010

This update concerns the application issued by the Joint Administrators on 1 May 2009 seeking directions from the Court concerning LBIE's obligations in relation to the handling of client money received prior to the time of administration (the “Client Money Application”). Further background to the Client Money Application can be found in earlier updates posted on the Client Money website.

As noted in the Client Money Update of 2 August 2010, the Court of Appeal has now handed down judgment in the Client Money Application. For an overview of the judgment, together with a link to it, please refer to the Client Money Update of 2 August 2010.  The Joint Administrators, together with three other parties to the proceedings (specifically, Lehman Brothers Holdings Inc., GLG Investments Plc Sub-Fund: European Equity Fund and Lehman Brothers Inc.) have requested permission from the Court of Appeal to appeal the judgment to the Supreme Court.

It is not yet known when the Court of Appeal will decide on these applications for permission to appeal, but a further update will be posted when the Court of Appeal’s decision is known.

Please direct any questions you may have with respect to the above to clientpositionresponses@lbia-eu.com .