* Settlement money paid into a segregated escrow account
* Balance to be paid in the near term - WaMu
Oct 13 (Reuters) - Washington Mutual Inc said the U.S. Treasury department had deposited $4.77 billion in an escrow account as part payment of a tax refund settlement with the Internal Revenue Service.
Last month, a Delaware bankruptcy court approved a $5.2 billion settlement of the estimated $5.5-$5.8 billion of tax refunds that WaMu expected to receive.
'The company expects that the balance of the settled refund amount will be paid in the near term,' WaMu said in papers filed with the U.S. Securities and Exchange Commission.
The money will remain in the escrow account until the bankruptcy court rules on how it will be divided among various claimholders.
WaMu filed for bankruptcy in September 2008, soon after regulators seized and sold its lending business in the biggest bank failure in U.S. history. JPMorgan then bought the bank for $1.9 billion.
(Reporting by Santosh Nadgir in Bangalore; Editing by Gopakumar Warrier) Keywords: WASHINGTONMUTUAL/ (santosh.nadgir@thomsonreuters.com; within U.S +1 646 223 8780; Outside U.S +91 80 4135 5800; Reuters messaging: santosh.nadgir.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
* Balance to be paid in the near term - WaMu
Oct 13 (Reuters) - Washington Mutual Inc said the U.S. Treasury department had deposited $4.77 billion in an escrow account as part payment of a tax refund settlement with the Internal Revenue Service.
Last month, a Delaware bankruptcy court approved a $5.2 billion settlement of the estimated $5.5-$5.8 billion of tax refunds that WaMu expected to receive.
'The company expects that the balance of the settled refund amount will be paid in the near term,' WaMu said in papers filed with the U.S. Securities and Exchange Commission.
The money will remain in the escrow account until the bankruptcy court rules on how it will be divided among various claimholders.
WaMu filed for bankruptcy in September 2008, soon after regulators seized and sold its lending business in the biggest bank failure in U.S. history. JPMorgan then bought the bank for $1.9 billion.
(Reporting by Santosh Nadgir in Bangalore; Editing by Gopakumar Warrier) Keywords: WASHINGTONMUTUAL/ (santosh.nadgir@thomsonreuters.com; within U.S +1 646 223 8780; Outside U.S +91 80 4135 5800; Reuters messaging: santosh.nadgir.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.