LLOYD'S PLAN OK'D BY BULK OF INVESTORS.Byline: Dirk Beveridge Associated Press Associated Press: see news agency. Associated Press (AP) Cooperative news agency, the oldest and largest in the U.S. and long the largest in the world. With more than 90 percent of the money-losing investors at Lloyd's of London Not to be confused with Lloyds Bank or Lloyd's Register. Lloyd's of London is a British insurance market. It serves as a meeting place where multiple financial backers or “members”, whether individuals (traditionally known as agreeing to its survival plan by Wednesday evening, a source predicted that the famed insurance market now has the financing to stay solvent solvent, constituent of a solution that acts as a dissolving agent. In solutions of solids or gases in a liquid, the liquid is the solvent. In all other solutions (i.e. . ``It'll fly,'' the source said, speaking on condition of anonymity. To make the restructuring restructuring - The transformation from one representation form to another at the same relative abstraction level, while preserving the subject system's external behaviour (functionality and semantics). work, Lloyd's needs to end lawsuits with a substantial number of investors as well as to generate nearly $560 million in fresh cash. Lloyd's was brought to the brink of ruin when it lost $12.4 billion in five years ending in 1992, amid a flurry Flurry A drastic volume increase in a specific security. of claims for asbestos asbestos, mineral asbestos, common name for any of a variety of silicate minerals within the amphibole and serpentine groups that are fibrous in structure and more or less resistant to acid and fire. , pollution and natural disasters. Many of the investors, known as ``names,'' refused to pay, saying they were victimized by unscrupulous insiders at Lloyd's. The names were required to put all their personal assets on the line to back the insurance policies, and many went broke while some committed suicide. Lloyd's is offering 3.1 billion British pounds, or more than $4.8 billion at current exchange rates, to absorb some of the investors' massive losses. But if the names accept, they will have to give up the right to sue the market that many believe defrauded them. In the restructuring, Lloyd's wants to put all its old claims from the disastrous years into a new group, Equitas, which will allow investors who accept the deal to get out for good. The Lloyd's source predicted late Wednesday that the plan will generate enough cash to put all of Lloyd's old liabilities into Equitas. The governing council at Lloyd's will meet today to discuss the matter. Lloyd's said that as of the noon deadline Wednesday, it had received acceptances from 30,918 of the 34,000 names. ``The level of acceptance speaks for itself,'' said Lloyd's Chairman David Rowland. ``Members have made their views toward the reconstruction of Lloyd's absolutely clear.'' Some investors say they'd rather keep fighting with Lloyd's - although a major challenge by American names was thrown out by a U.S. appeals court Tuesday. A lead attorney for American investors said Wednesday that the legal battle is not over. Stephen Hudson Stephen Hudson was a pseudonym of the British novelist Sydney Schiff (1868 – 1944). He is now better remembered for his place as a piece in the social jigsaw around more celebrated artists. said his Atlanta-based firm intends to file an emergency motion before the 4th U.S. Circuit Court of Appeals by today to seek a rehearing rehearing n. conducting a hearing again based on the motion of one of the parties to a lawsuit, petition or criminal prosecution, usually by the court or agency which originally heard the matter. . A three-judge appeals panel in Baltimore had ordered the investors' suit dismissed on the grounds that when names joined Lloyd's they agreed to settle disputes in British courts. But Hudson said that issue technically was not before the appeals court. |
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