WAMUQ - Washington Mutual

[Sculelos]

Posted By DanBB over at Ihub, Part 2:

THJC then set the stage for everyone by stating, "let me give a shot across the bow" and stated that Judge THJMW has already been moving along and had made rulings that made it clear THJMW felt her court had jurisdiction over certain things; particularly "what assets belong to the estate". JPM kept arguing that Congress gave only the DC court jurisdiction over the FDIC. THJC agreed that DC has the jurisdiction over the FDIC but that THJMW has already made rulings regarding the estate assets and that she (THJC) would not go against the BK court asserting jurisdiction over estate assets. THJC stated that if FDIC/JPM wants those items argued in DC then they need to get THJMW's decisions overturned. Otherwise it remains in BK court.

THJC continued to state many times to JPM that she (THJC) will not take jurisdiction away from the BK court where the BK court has decided it has jurisdiction. THJC said she does not want two courts deciding the same issues. THJC stated all claims arising out of receivership would be decided in DC.

The question then arose whether the FDIC Corp. needs to remain a defendant. FDIC Corp. wants out but WMI argued that they want FDIC Corp. in because both the FDIC Corp, and FDIC Receivership sign the P&A. WMI stated they want to ensure someone can pay in the end. THJC questioned the FDIC regarding this point as to who would pay if the FDIC were found to have done wrong. (This got into a discussion about the role of each FDIC entity. FDIC Rec. said they would only pay out what the Receivership held; THJC asked "$1.8B?" FDIC Rec. said yes. [I think THJC will probably keep the FDIC Corp. in the suit; it was my opinion THJC didn't like that answer.])

THJC said she would not rule and take it all under advisement. Court adjourned.

MY PERSONAL OPINION

Like THJMW, THJC is a -very- fair and good judge. These are not traffic court judges and I do believe they want what is both right and just.

It looks clear to me that THJC will probably stay 4 counts and will watch what happens in the BK court. It is also clear to me from THJC's statements that THJC will defer to THJMW on anything that THJMW feels is the BK court's jurisdiction.

I think the $4B is of -huge- importance to the WMI attorney's (I may have overheard something regarding this. ok. I know I did) And appeals are expected with it but WMI just needs the initial ruling as a huge win.

It also seems clear to me that non-WMB assets will be decided in DE, while WMB related receivership issues will be decided in DC. DC will eventually proceed since it has jurisdiction over the FDIC. Questions about the $1.88B fire sale to JPM will be decided in DC. I also don't think the FDIC will ever pay a penny until they have exhausted the court system. However, I think JPM on the other hand would be more willing to negotiate as the chips fall against them. Only JPM can make this entire thing go away.. WMI is looking to pile up the wins and build pressure for JPM to deal. IMHO.

In all, I think this hearing went very much in WMI's favor.

note: JPM attorney stated she will be in the same courthouse for the Insurance Company vs. JPM on Friday. I'm thinking of attending.

[Sculelos]

My personal opinion is that WMI will consolidate in the current .10-.13 range before a big explosion... how much? Well let's say it ran to .44 on nothing but thin air, this time it might very well run higher. Of course I am unsure of the time line, just gonna hold and add until it explodes.

[SeeMiYah]

Sculelos - thanks! I've been following this thread and you have provided more fact-based/first hand account (I'm assuming the above DanBB from Ihub post was directly copied as is) information than I've seen in a while.

I've only been around ~ 1 yr., but from what I've observed this is the kind of DD that separates HSM from most other boards.

[Sculelos]

Originally Posted by SeeMiYah

Sculelos - thanks! I've been following this thread and you have provided more fact-based/first hand account (I'm assuming the above DanBB from Ihub post was directly copied as is) information than I've seen in a while.

I've only been around ~ 1 yr., but from what I've observed this is the kind of DD that separates HSM from most other boards.

Indeed it was directly copied as is. Just doing my best to sort out the thousands worth of post I've read to bring this board the best DD that I've found.

It is my solid belief that when the dust settles from the court hearings anyone in Washington Mutual stock will be doing very well.

If Washington Mutual manages to recover just the 13 Billion from the FDIC, 4 Billion from JPM and the 3 Billion in cap contributions we should see at the very least 4$/share.

I'm betting on this being in the 12$+ range when all is said and done, of course even 50 cents would be great from where we are at today (13 cents).

[Sculelos]

Looks like the tides might be about to turn. This stock may just have reversed although we will have to wait and see what happens.

Awesome, I was getting very bored with the last 2 weeks of channeling or sideways trading though the .12 Support and .15 resistance lines, if this stock closes above .15 watch out because it might make a big run!

20K shares, GO!

[PillCounterRPh]

Been in with 40,000 shares since 9/21/09...

Missed out on the .44 run in September.

Still waiting for another big run!!! GLTA.

[Sculelos]

Originally Posted by PillCounterRPh

Been in with 40,000 shares since 9/21/09...

Missed out on the .44 run in September.

Still waiting for another big run!!! GLTA.

Good for you! I hope to get to 40K before this is all settled but for now I'm just adding a little at a time. Started with 3K late September and bought a lot more, now at 20.5K and hope to add another 4.5K this week.

The more time this channels the more I'll add.

Either-way we got the 11/24th Omnibus to look forward to.

http://www.my.calendars.net/wmi/

[o7media]

I'm looking to get some shares in them too once I flip some more penny stocks!

[Sculelos]

Originally Posted by o7media

I'm looking to get some shares in them too once I flip some more penny stocks!

Good idea! I'm just playing the role of a gambler and putting all my eggs in this basket. It's all or nothing for me!

Truth be told I'm sick and tired of flipping stocks, so for now I'm just taking a break and buying more stock from my work money, heh.

I bought first at .305 which turned out to be a terrible time to buy, now I'm averaged down to .215 but I want my average to go under .20.

Either-way gonna add at some next week if it stays under .13.

[o7media]

Originally Posted by Sculelos

Good idea! I'm just playing the role of a gambler and putting all my eggs in this basket. It's all or nothing for me!

Truth be told I'm sick and tired of flipping stocks, so for now I'm just taking a break and buying more stock from my work money, heh.

I bought first at .305 which turned out to be a terrible time to buy, now I'm averaged down to .215 but I want my average to go under .20.

Either-way gonna add at some next week if it stays under .13.

Damn...I wanted to get in when they went bankrupt at .015 but I wasn't into stocks back then. I regret it now though! I would have made a lot of money back in September

When do you think their stock will start to run again though?