UPDATE 1-US Treasury pays $4.77 bln in WaMu tax refund deal

* Settlement money paid into a segregated escrow account

* Balance to be paid in the near term – WaMu

Oct 13 (BestGrowthStock) – Washington Mutual Inc (WAMUQ.PK: ) 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)

UPDATE 1-US Treasury pays $4.77 bln in WaMu tax refund deal