The Daily Docket: ‘Old’ GM Sitting on ‘New’ GM Stock

General Motors’ bankruptcy estate is still holding onto $2.36 billion worth of securities in the reorganized auto maker, meaning old bondholders and other creditors will continue to see payments on top of the nearly $8 billion already received this spring and summer. Read the Daily Bankruptcy Review story here.

A lender to Dutch ship owner Marco Polo Seatrade BV has begun to challenge the legitimacy of the Amsterdam company’s request for bankruptcy protection in the U.S., calling the filing a “sham” meant to prevent the bank’s takeover of three cargo vessels that now sit stranded during the dispute. Read the DBR Small Cap story here.

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Two main lenders to Lee Enterprises Inc. are backing a debt-exchange offer designed to keep the newspaper publisher out of bankruptcy, The Wall Street Journal reports.

Lehman Brothers Holdings Inc. on Wednesday reached a deal with liquidators of its Hong Kong affiliate to settle $20 billion worth of intercompany claims, WSJ reports.

It appears that Jefferson County, Ala., will again delay a decision on whether to file for bankruptcy protection, the Associated Press reports.

Thanks to a new state law, bondholders of Central Falls, R.I., will get paid everything they’re owed in spite of the city’s bankruptcy, WSJ reports.

Meanwhile, business owners in Central Falls are worried about the bad publicity the city is getting because of the Chapter 9 filing, the Providence Journal reports.

General Motors Co. on Thursday said its profit nearly doubled in the second quarter as revenue soared, WSJ reports.

Chrysler Group LLC and Fiat SpA Chief Executive Sergio Marchionne said he will change Chrysler’s board by the end of the month and said he could retire sometime after 2015, WSJ reports.

A bankruptcy judge has ruled that the trustee liquidating the law firm of disgraced Manhattan attorney Marc Dreier cannot recover funds from Wachovia Bank related to a $9 million loan the bank extended to Dreier shortly before the firm collapsed, the New York Law Journal reports.