Caryle Group nears collapse

Carlyle Group said creditors plan to seize the assets of its mortgage-bond fund after it failed to meet more than $400 million of margin calls, heightening concern about a lending freeze that led to a plunge in the dollar and global stock markets

Carlyle Capital used loans from 12 banks to buy about $22 billion of AAA-rated mortgage debt issued by Fannie Mae and Freddie Mac. In the past month, at least a dozen funds have closed, sold assets or sought fresh capital as banks tightened lending standards

Bloomberg has more coverage, but having a fund collapsed based on mortgages to me says some very bad news.