WorldCom banks hit by court decision

NEWS A number of banks desperately trying to recover the $2.65bn they lent to WorldCom were yesterday told by a federal judge that spending of the loan would not be frozen. The lenders also asked for confirmation of exactly how much cash was remaining from the huge loan. But in another hefty blow, the judge again refused their request. However, the court managed to secure one agreement between WorldCom and its banks, according to a report in the Financial Times. The company has been prevented from selling any of its subsidiaries within the next 70 days while the banks have been blocked from freezing WorldCom assets.