Reuters: BofA lawyer ‘Baupost is Walnut Group’

(Reuters) – Walnut Place, a group of undisclosed investors who oppose Bank of America Corp’s (BAC.N) $8.5 billion mortgage bond settlement, is the Baupost Group, a distressed debt fund, according to an attorney for the bank.

“Walnut Place is actually a made up name,” Theodore Mirvis, an attorney with Wachtell, Lipton, Rosen & Katz who represents Bank of America, said at a hearing in New York state Supreme Court Thursday.

The “real” firm, which sued Bank of America and Bank of New York Mellon BKNYK.UL, as trustee, over mortgage-backed securities trusts is Baupost — “known as a distressed debt or sometimes a vulture fund,” Mirvis said.

Baupost spokeswoman Elaine Mann declined to comment on whether the Boston-based hedge fund was behind Walnut. David Grais, an attorney at Grais & Ellsworth LLP in New York who represents the Walnut entities, also declined to comment on whether Walnut was Baupost.

Like most hedge funds, Baupost doesn’t usually disclose its earnings or investments, but was reported to have $23 billion in assets last year.

Walnut Place is involved in separate cases against Bank of America.

Full article here-http://www.reuters.com/article/2011/12/09/us-bankofamerica-walnutplace-idUSTRE7B805920111209

See related post here-https://www.valuewalk.com/2011/12/seth-klarman-short-bac/#.TuI7wGMr2so

 

 

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