A one-year probe into the collapse of Lehman Brothers found “credible evidence” that top executives, including the former chief Dick Fuld, approved misleading financial statements and used an “accounting gimmick” to flatter results, the FT reports. The report by court-appointed examiner Anton Valukas also said there was enough evidence to claim that Ernst & Young, Lehman’s auditors, failed to “question and challenge improper or inadequate disclosures” in the firm’s results. See also FT Alphaville here and here.

This entry was posted by Tracy Alloway on Friday, March 12th, 2010 at 2:34 and is featured in The 6am Cut London (12 Mar 2010), The Lunch Wrap (12 Mar 2010) . Tagged with accounting, ernst & young, Lehman Brothers, Repo 105. Edit this entry.