The spending bill on Capitol Hill no longer includes an amendment that had hedge funds and other investors in Caesar’s Entertainment at loggerheads, the New York Times DealBook blog reported yesterday. The amendment would have made changes in an obscure Depression-era law meant to protect the interests of bondholders in a corporate reorganization. But it was seen as handing a victory to a limited group of investors in Caesars Entertainment and its owner, Apollo Global Management, at the expense of other hedge funds and other investors. The proposal prompted an outpouring of opposition from legal scholars, House Republicans and others, including six big asset managers that made a last-hour appeal in a letter to congressional leaders on Monday to drop the amendment.
