The Washington Mutual Chapter 11 case has been contentious from the start, complete with accusations of sabotage. So it’s fitting that a global settlement that would pave the way for resolving the mess seems to be perpetually out of reach.
The newest twist: A group of senior bondholders who own debt from WaMu’s banking unit announced Monday that it is opposing a proposed settlement between the bankrupt estate, the Federal Deposit Insurance Corp., other bondholders, and WaMu’s new owners at JPMorgan Chase, according to Reuters and this release from Boies, Schiller & Flexner attorneys representing the dissident bondholders.
