Much like the ratings agencies, the accounting firms also played their role in the economic collapse. That industry also played an important role in previous failures such as Enron. While all of this is good news, it's still annoying to see the central players (Wall Street) walking away unscathed. It goes to show you how deep their ties are into the political decision making process. That's also why it's called a Wall Street government.
The lawsuit stems from Lehman's use of a controversial accounting technique called Repo 105, the paper said.
Lehman's court-appointed examiner, Anton Valukas, has said that the use of Repo 105, which dated back to 2001 and was used without telling investors or regulators, gave the appearance that Lehman was reducing its overall leverage levels in 2008 when it was not.
Lehman used Repo 105 to temporarily remove $50 billion of assets from its balance sheet in 2008, according to his report released in March.
