Last night we were drinking wine in Central Park. The New York Philharmonic was playing "Purple Haze" for their encore, and we'd had enough wine that we didn't mind chatting over the music. The topic of our conversation was how Lehman Brothers had managed to improve the reputations of rumor mongers and short-sellers by consistently proving them right. It was only a matter of time before Lehman Brothers' insistence that its finance were in fine shape and the reality that it was raising money in the capital markets to shore up its balance sheet would meet each other in court, we pointed out.
But you know what? We're behind the times. Class action lawyers work fast and the first shareholder suit has already been brought on behalf of Lehman's shareholders. The ;awsuit names as defendants four high ranking officials: chief executive Richard Fuld, risk management head Christopher O'Meara, former president Joseph Gregory and former chief financial officer Erin Callan.
Shareholder sues Lehman Brothers [BBC]
Posted by guest , Jun 25, 2008 9:24AM
Go get'em boys! Time to hold Wall Street accountable.
http://eeoc0sues0merrilllynch.wordpress.com/
Posted by guest , Jun 25, 2008 9:35AM
@ 9:24. When all you are really doing is biding your time for the 12th imam to come back, do you really need a job at ML?
Posted by cauxion , Jun 25, 2008 9:49AM
Lehman had to have known this was coming months before it happened. I'd be willing to bet you a grilled caciocavallo podolico cheese sandwich that Lehman had their lawyers getting their sh*t together for potential lawsuits WHILE they were painting that rosey picture of their finances.
Someone tell me something.... what is the difference between the actions of Lehman and Cioffi & Tannin (C&T)? Virtually nothing if you ask me....
Posted by guest , Jun 25, 2008 11:42AM
Let the games begin....
Countdown to Lehman's demise T- How many days??
Posted by guest , Jun 25, 2008 12:07PM
Does Eric Callan have to give up her sweet pad at 15CPW now?
Posted by guest , Jun 25, 2008 12:18PM
These guys need to be brought to check. Enough of this mess, creative accounting and other shenanigans.
I guess Sarbanes-Oxley doesn't apply for this kind of financial shit does it? Reminds me of Enron.
Black-Bloody-Lehman-Box!
Posted by beentheredonethat , Jun 25, 2008 12:21PM
One of the reasons Wall Streeters are often despised by so many is precicely the fact they consider it appropriate to be talking finance while the Philharmonic was playing. I am sure those within earshot were thrilled. The purpose of the concerts in the park, and the reason so many attend, is to get away from all that, if only for a couple of hours. Next time save it for the walk home so all of us don't look like idiots.
Posted by guest , Jun 25, 2008 12:31PM
Fuld needs to go before Lehman shuts down.
No other way - he has to go.
Posted by guest , Jun 25, 2008 1:14PM
Some say that Erin was the fall guy for Gregory and Fuld...but she was hardly a Spector, and see how that worked out. The Fed just wants them to stay around through the election. And the SEC, based on this week's WSJ article on Cox, is apparently asleep at the switch.