Tuesday, October 21, 2008

Possible Criminal Charges In Financial Crisis

Investors and taxpayers angry about the government bailout of seemingly mismanaged financial firms can probably count on a wave of criminal indictments in the coming months, say white- collar crime experts.

Prosecutors will comb through email records, looking for inconsistencies between private and public statements, to show that people acted willfully.

The government recently issued subpoenas to a dozen executives at Lehman Brothers, which included CEO Richard Fuld, two CFOS and a COO.

Since September, multiple federal investigations at Lehman and at least 25 other firms are focusing primarily on asset values.

Source: CNBC