Was anyone interested in the truth? Doesn't sound like it. Regulators sounded as complicit as the auditors so I hope there's something wrong with this report.
The findings raise questions over what federal regulators knew about Lehman’s accounting and when they knew it. In the account given by the Merrill officials, the SEC, the lead regulator, and the New York Federal Reserve were given warnings about Lehman’s balance sheet calculations as far back as March 2008.And a reminder, Treasury Secretary Tim Geithner was President of the New York Federal Reserve when all of this unfolded.
Former and current Fed officials say even in the competitive world of Wall Street, it is unusual for rival bankers to relay such concerns to the Fed.
The former Merrill officials said they contacted the regulators after Lehman released an estimate of its liquidity position in the first quarter of 2008.
