Excerpt:

A bankruptcy judge in New York has given the go-ahead for Lehman Brothers Holdings Inc. to spend money on a reorganization plan that has entangled several projects with Irvine-based SunCal Cos.

The judge said Lehman can spend money on and move ahead with a plan to rework projects it financed with SunCal, according to a Bloomberg report.

The projects include San Clemente’s Marblehead Coastal and others in California.

The decision appears to be a setback for SunCal, but how much of one is unclear.