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NEW YORK (Reuters) – Bondholders fighting for control of Lehman Brothers Holdings Inc's (LEHMQ.PK) defrayal organisation hit revised a offering for the company's restructuring that would provide them a slightly higher recovery.

The bondholder group, led by inclose money Paulson & Co and the Calif. Public Employees Retirement System, filed the organisation New on weekday in U.S. Bankruptcy Court in Manhattan.

The updated filing, which would earmark 25.4 proportionality feat for unsafe creditors, follows an initial offering in December that called for recoupment of most 24.5 percent.

The newborn organisation accounts for increases in the appraisal of Lehman's assets, and would also improve payouts proportionately for another classes of creditors. The updated appraisal figures also could ward soured possibleness challenges from opponents who might question whether the drawing are current.

Lehman filed the largest bankruptcy in story in September 2008, organisation $639 1000000000 in assets. The failed investment slope estimates creditors module better most $60 1000000000 of the $322 1000000000 in allowed claims against the company.

Lehman has filed its possess plan, patch a assemble of derivatives creditors has filed a ordinal proposal.

Parties grappling a Friday deadline to accede or amend organisation proposals in instance for inclusion in a June 28 support hearing. If approved by Judge saint Peck, the plans would be sent to creditors for a vote.

The Paulson assemble has asserted nearly $20 1000000000 in claims against Lehman entities.

The derivatives group, led by Goldman Sachs Group Inc (GS.N) and Silver Point Capital LP, is championship a competing organisation that would boost recoveries for creditors of Lehman's derivatives playing and turn payouts for bondholders.

Lehman touts its possess organisation as a cooperation that would earmark bondholders to better most 21.4 cents on the dollar.

But the Paulson assemble says Lehman's organisation cannot be trusted, arguing its accounting is rotten by supposed accounting practices famous as Repo 105 transactions.

Through Repo 105, Lehman categorised short-term loans as income so that it could temporarily verify as such as $50 1000000000 soured its balance sheet. A court-appointed enquirer studying Lehman's descent into bankruptcy over terminal assemblage that the financial firm could hit deposit for a causa against its past executives over the transactions.

"Any organisation ... that purports to accept Lehman's books and records presents momentous jural and evenhanded problems," the Paulson assemble said in its organisation summary filed in court.

Paulson's organisation calls for combine every of Lehman's assets into one quality pool, an approach that the Goldman assemble opposes, locution it has no jural basis.

Because consolidation merges a company's strongest and weakest assets, creditors of anaemic entities run to souvenir it, patch claimholders of healthier units run to rebut it.

The Paulson assemble declined to comment. A spokesman for Silver Point could not immediately be reached.

The housing is In re Lehman Brothers Holdings Inc, U.S. Bankruptcy Court, Southern District of New York, No. 08-13555.

(Editing by Dave Zimmerman)

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