Now they are having hearings! Why didn’t they have them BEFORE the vote on the bailout act? ~ Lo
Oct. 6, 2008
Experts in economics, regulation, and corporate governance testified on the causes and effects of the bankruptcy of Lehman Brothers. Topics included excessive CEO compensation, bad judgment by executives, relaxation of regulation, easy access to credit, excessive leveraging by investment banks, and the assumption that housing values would continue to rise.
The House Oversight and Government Reform Committee held the first in a series of oversight hearings on the regulatory mistakes and financial excesses that led to the market breakdown on Wall Street, and on the impact of the crisis on financial markets and the U.S. economy. This session focused on the causes and effects of the bankruptcy of Lehman Brothers.
Richard Fuld, Jr., board chairman and chief executive officer of Lehman Brothers Holdings and Lehman Brothers, testified about the bankruptcy of the company. Topics included his role at Lehman Brothers, allegations of fraud, and his compensation from the company.