FSA to minimise market disruption from Lehman closure

The Financial Services Authority is working with London Clearing House and other market stakeholders to neatly wind up Lehman Brothers Holding in the UK.

Today, Lehman Brothers announced that it intends to file a petition under Chapter 11 of the U.S. Bankruptcy Code.

Lehman Brothers is a U.S. institution regulated by the American Securities and Exchange Commission, so the FSA is working closely with the US authorities to ensure an orderly wind down of its principal UK trading subsidiary, Lehman Brothers International, which was placed into administration earlier this morning.

The FSA says it is working with market practitioners to ensure the process connected with the winding down is completed in an orderly manner to minimise any market disruption.