New York Times – For some hedge funds, Lehman Brothers has become the Roach Motel of Wall Street: They checked in, but they can’t check out.

Two weeks after Lehman spiraled into bankruptcy, hedge funds that did business with the Wall Street bank are still fighting to get their money out of the firm. For some, it has become a life-or-death struggle.

Big funds like GLG, Harbinger, Amber Capital and Elliott Associates have varying degrees of exposure to Lehman Brothers.

But even a $6.2 million fund run by students at the Darden School of Business at the University of Virginia has been caught up in the bankruptcy. The fund, like its larger counterparts, used Lehman as a prime broker, and no longer has access to its money.

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Wall Street Journal – Hedge fund Elliott Associates LP made public a letter to Republic Services Inc. in which it said the company’s board wasn’t doing its duty by fully considering the raised $6.73 billion takeover bid from Waste Management Inc.

The fund, which said it is a "meaningful" shareholder in the company, asserted the Waste Management bid was more favorable to shareholders than Republic’s proposed acquisition of Allied Waste Industries Inc., initially valued at $6.24 billion in stock.

The size of Elliott’s stake couldn’t be determined, and an official wasn’t available for comment.

The hedge fund urged Republic’s board, in a letter dated Aug. 28 and released Friday, to "vigorously negotiate the best possible deal from Waste Management," maintaining the Waste Management proposal of $37 a share "can reasonably be expected to lead to an offer that is superior to Republic’s no-premium merger with Allied."

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