Last week, Hargreaves Services, a coal-mining and logistics company based in Durham, bought the debt linked to secured assets that belonged to another big Scottish coal producer ATH, which was forced into administration in December.
If the debt is secured against assets, then the borrower may be forced to sell.
On Monday, the Commodity Customer Coalition filed court papers objecting to a lien on MF Global assets secured by J.
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The judge ruled against Zambia's application to dismiss Donegal's claim, but at the same time proposed to end a freeze of Zambian assets secured by the fund.
That fund would be secured by those assets, which members would then get back as they paid down their excess debt, over and above that 60% ceiling, over a period of 20 years.
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Southeast Asia's largest bank by assets, secured an extra two months on its deadline to take over PT Bank Danamon, in what could amount to Indonesia's largest-ever foreign investment.
"There are few other opportunities for that level of yield in a quarterly dividend where the underlying assets are secured, and the duration is three months, " says Neuberger Berman fund manager, Joseph Lynch.
But the SEC and others had never considered what might happen if the bank was unable to borrow from trading partners, even using loans secured by high-quality assets.
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By 2006 the situation had become so bleak that Mr Ford and Don LeClair, then his finance director, decided to undertake a dramatic refinancing of the business by raising bank loans secured against the company's assets.
That implies Greek banks have almost no spare assets to pledge for secured loans, if they are to keep anything back to cover the money they have borrowed in the form of deposits from ordinary Greek citizens.
These loans are secured on Mr Ebbers's personal assets, including a yacht-sales company, a soyabean farm, and nearly 27m WorldCom shares.
That's partly because, faced with this uncertainty over their balance sheets, banks have been forced to rely more heavily on secured funding, pledging their highest quality assets as collateral.
But owning fund-management groups is not without pitfalls, because they have no tangible assets against which debt can be secured.
On the other hand, a secured bond is a bond in which specific assets are pledged to bondholders if the company cannot repay the obligation.
Safe banks are easy enough to create: just push up their capital requirements to 90% of assets, force them to have secured funding for three years or tell them they can invest only in Treasury bonds.
Second, some assets can't be converted into a form suitable for secured borrowing.
As you would expect, in stressed parts of the eurozone the growth in secured borrowing has been exceptionally rapid: between 2005 and 2011, the ratio of encumbered assets to total assets increased tenfold for Greek banks, to one third of the total.
An appeals court in Georgia soon will address another question with multibillion-dollar ramifications, which is whether bondholders who lent money secured by the revenues from specific projects like parking garages and sewer systems can seize control of those assets when municipalities default.
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Information describing employment, income and assets are tendered during a telephone interview, an electronic file is created, a credit report is secured and an algorithm delivers an automated underwriting decision.
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