Saturday, March 29, 2008

Lehman a "victim" of $250 million fraud

Lehman appears to have been a victim of a fraud in which swindlers used forged documents from one of Japan's biggest trading companies to bilk it out of as much as $250 million...

Lehman grew concerned at the end of February when its funds were not repaid, according to a person familiar with the situation. The LTT Bio-Pharma subsidiary filed for bankruptcy protection on March 19.

Lehman officials acknowledged that the firm has filed a criminal complaint with Japanese police about the situation. A spokesman says the firm believes Marubeni is responsible for repaying Lehman, which is studying how it might proceed.

In a statement, Lehman said it was "working closely with the authorities to seek full recovery of funds it believes to have been fraudulently misappropriated."

Seeking a full recovery? The Japanese documents were forged. Lehman got snookered. The money's gone, in the bank they'll never find.

The only thing left is to move the receivable to a Level III asset!

In the warehouse that never was.

1 comment:

Anonymous said...

Now up to $400 million