Lehman Germany's administrator to earn record fee
FRANKFURT Nov 22 (Reuters) - The insolvency administrator of Lehman Brothers' German operations is expected to cash in a record fee in the hundreds of millions of euros for winding down the business.
"By reasonable consideration the fee will be around 300 to 800 million euros ($387-$1.03 billion)," the head of the CMS Hasche Sigle law firm, Hubertus Kolster, told Reuters on Thursday.
The previous highest ever fee awarded to an insolvency administrator was more than 30 million euros for Arcandor, the former parent of Karstadt.
CMS employed a team of about 100 lawyers lead by Michael Frege and has already received an advance of about 70 million euros.
Creditors of Lehman Brothers argue CMS should only receive 200 million, whereas an independent opinion requested by the law firm suggested 800 million.
Ultimately a court decides the fee based on the amount of work necessary to liquidate the insolvent company's estate, which in this case amounted to roughly 15 billion euros.
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