Lehman Brothers Holdings is suing Daiwa Securities Capital Markets over hundreds of soured swaps and options, claiming the Japanese investment bank shortchanged it on hundreds of derivatives contracts after Lehman’s bankruptcy to reap a multimillion-dollar windfall.
In a lawsuit filed with US Bankruptcy Court in New York, lawyers for Lehman say the bank was "in the money" to the tune of $75 million on 955 derivatives transactions - mainly interest rate and credit default swaps - with Daiwa at the time of Lehman's 2008 bankruptcy filing.