Lehman’s chief denies involvement in accounting fraud

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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.

Lehman Brothers’ chief executive Dick Fuld’s lawyers say he did not structure or negotiate the banks’ so-called ‘Repo 105’ transactions, which were used to be create a ‘materially misleading picture of the firm’s financial condition’ in 2007 – 2008, nor was he aware of their accounting treatment.

This was the claim from Patricia Hynes of Fuld’s legal team at Allen & Overy, who added that Fuld “throughout his career faithfully and diligently worked in the interests of Lehman and its stakeholders" in a statement to the Guardian<...

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About Gina Dyer

About Gina Dyer

I've been a journalist for four years, writing on a wide variety of topics from business and finance to travel, culture and celebrities. I began my career as an editorial assistant for Palladian Publications, a B2B publisher specialising in technical magazines for professionals in primary industries. I later moved into consumer magazines as a staff writer for French Magazine, a monthly travel publication aimed at Francophiles, and was part of the launch team for The Traveller in France, a quarterly magazine produced for the French tourist board. I was also a regular contributor to online travel portal Homesworldwide.co.uk, and later worked with customer publishers Future Plus as a freelance production editor, before joining Sift Media in January 2009. I am currently Deputy Editor of AccountingWEB.co.uk.


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13th Mar 2010 13:05


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.





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By Anonymous
15th Mar 2010 15:39

Bar them all from future Government work in all countries worldw

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

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