This is a disaster. LandAmerica, in capacity as a 1031 accomodator, had $400 million of short-term 1031 exchange money in illiquid auction-rate securities. Because the auction-rate securities became illiquid, it could not meet is accomodator obligations, which lead to the bankruptcy filing. Most of the money was in co-mingled accounts. Investors now have to go through the bankruptcy courts to attempt to get their money back.