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How will dividends and interest on customer property securities held by LBI be distributed by the SIPC Trustee?

April 26, 2017customer distributed dividends held lbi Property securities sipc Trustee

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How will dividends and interest on customer property securities held by LBI be distributed by the SIPC Trustee?

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Dividends and interest on customer property securities will become part of the pool of customer property. Whether these will go directly to the person beneficially owning the securities on 19 September 2008 or be part of the pro rata distribution has not been stated by the Trustee. There appears to be no precedent addressed by the courts in the U.S. This is a matter that the SIPC Trustee will address with the U.S. Court before which the LBI SIPC proceeding is pending. Please direct any questions regarding the information contained in this update to clientpositionresponses@lbia-eu.com.