Lehman’s chief denies involvement in accounting fraud

Lawyers for Lehman’s chief executive Dick Fuld say he had nothing to do with the ‘repo 105’ transactions used to hide the bank’s losses.

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Lehman

premsikka | | Permalink

The usual saga continues. There is organised deceit but noboy is responsible. Company executives, accountants, auditors, lawyers, non-excs, audit committees and sundry advisers all collect mega fees but at the end nobody is responsible. Many of the deeds don't seem to violate any laws, but the result is the same - organised deceit and lies. Corporate reports are hardly worth the paper they are written on. Audit reports - a product of wishful thinking, but still no body owns up to anything.

All human societes have a an urge to know the truth (or even a truth) but all those employed to tell the truth just collect fees. Societies decay because exprts use their talent to constructs webs of deceit. That has been evident for years and years. A 1997 government report on Guinness concluded that City is charaterised by three failings: "firstly, the cynical disregard of laws and regulations; secondly the cavalier misuse of company monies; thirdly, a contempt for truth and common honesty. All these in a part of the City which was thought respectable". Yet little has been done to enhance people's rights against organised abuses.

The Lehmans report is another chapter in the sorry saga and none of the organised interests want any reforms. There will inevitably be more Lehmans.

 

 

 

 

Bar them all from future Government work in all countries worldw

Anonymous | | Permalink

There will inevitably be more Lehmans .........

How about Goldman Sachs - only these guys have upped their game to play at sovereign debt level as per Greece. Just enter 'goldman sachs greece' into Google to see the antics this firm has been up to; but here is one link

'.. Goldman Sachs and other investment banks wrote derivative contracts that helped Greece report smaller debt levels ..' - http://www.businessweek.com/news/2010-02-26/bernanke-says-fed-reviewing-goldman-sachs-greece-contracts.html

Quite frankly any organisation caught pulling this sort of stunt should be de-barred from any future Goverment contracts in any country worldwide. Bearing in mind they all seem to make a great proportion of their money from Governments this approach would send out the appropriate message through their bank balances