Excerpt:

May 12 (Bloomberg) -- Lehman Brothers Holdings Inc., fighting to preserve its stake in a group of bankrupt California real-estate projects undertaken with SunCal Cos., won court permission to buy back $1.5 billion in loans tied to the properties.

U.S. Bankruptcy Judge James Peck in Manhattan, who is overseeing Lehman’s bankruptcy case, today approved Lehman’s purchase of the loans, previously sold to Fenway Capital LLC. The transaction represented a suitable exercise of Lehman’s “business judgment,” Peck said.