Lehman Whistle-Blower's Fate: Fired (WSJ)
Matthew Lee, a 14-year Lehman veteran, was let go in late June 2008 amid steep losses at the firm as it tried to maneuver through the global financial crisis. Earlier that month, he had raised concerns with Lehman's auditor, Ernst & Young, that the securities firm was temporarily moving $50 billion in assets off its balance sheet.
Citigroup Bolsters Proprietary Trading Arm as Volcker Rule Spurs Defectors (Bloomberg)
Kevin Russell, head of Americas stock trading, told employees and securities firms supporting the unit last week that Citigroup may increase the group’s trading limits and capital, according to the people. The New York-based bank will replace some or all of the six portfolio managers and analysts who left since their leader, Matt Carpenter, quit in February, according to two of the people, who declined to be identified because the unit’s operations are confidential.
Roubini Worried by 'Runaway Fiscal Deficits' (CNBC)
Exit policies [from stimulus strategies] pose a "damned if you do, damned if you don't" dilemma, as withdrawing stimulus too soon could push economies back into recession, while leaving it too long would push already high fiscal deficits even higher, Roubini, who predicted the 2007 financial crisis, explained.
Barclays Targeted UBS Ahead of Lehman Buy (Reuters)
Senior executives at Barclays Capital had presented UBS as a favored takeover target at a July 2008 board meeting.
Ex - AIG Employees Might Sue Over Lower Payouts (Reuters)
The insurer is asking former employees who are eligible for the payout what they earned after leaving AIG so it can reduce the retention bonus payments by that amount, said Gary Phelan, a partner at law firm Outten & Golden, which represents eight current and former employees. "They've had several months to determine whether or not any payment should be offset," Phelan said. "Unless there's a very quick payment made of the balance 25 percent, I think (a lawsuit) is inevitable."
Michael Jackson's estate strikes richest deal in history for 10 albums with Sony Corp. (NYDN)
The Gloved One's estate has struck a deal with the Sony Corp. for 10 Jackson albums through 2017 worth as much as $250 million.
EU Finance Ministers Fail to Reach Deal on Hedge-Fund Rules (WSJ)
"We have a need to do yet more work on this over the next few weeks," Spanish Finance Minister Elena Salgado told a news conference after the ministers' regular monthly meeting.
'Wall Street' sequel is an omen of U.S. collapse (MarketWatch)
Really: "He says he can't predict the future. Don't believe him: Even if he's unaware of his 'source,' it's stirring again, rising from deep in what Carl Jung would call the 'collective unconscious' of the 'American Soul,' warning us again of a collapse, using Stone as a stock trader's 'alert.'"