by Calculated Risk on 6/17/2007 11:07:00 PM

From the WSJ: A 'Subprime' Fund Is on the Brink (hat tip to many - thanks!)

Concerned that an internal hedge fund at Bear Stearns Cos. wouldn't be able to meet a margin call, Merrill Lynch & Co., one of the fund's biggest lenders, seized $400 million of its assets and is preparing to auction them off.

This follows the sale of $4 Billion investment-grade bonds by the same hedge fund last week.

Bids for the securities are scheduled to be negotiated starting at noon on Monday.

This could be interesting.