Senate Oversight Commitee Hearings

All the written testimony, including emails and analysis being presented at the hearings is available online
oversight.house.gov/story.asp?ID=2208

Testimony of Luigi Zingales on "Causes and Effects of the Lehman Brothers Bankruptcy” makes the most interesting reading so far…
oversight.house.gov/documents/20081006103245.pdf

These are a pair of beauties from Dick Fuld about how they were going to use some of the $5 billion Korean bailout to go back into the market after short sellers as a personal vendetta with Einhorn, this at a time when they had underlying capital problems

Fuld, Dick j.bP@lehman.com]
Monday, May 26, 200812:54 PM (GMT)
Goldfarb, David ~. • @Iehman.com] <Error -2147221233>
Re:
Dave
I agree with all of it. Also want to have them buy 10 com real estate.
Lots of strat work to do.
C u tomorrow.
Dick
----- Original Message —.From:
Goldfarb, David
To: Fuld, Dick; Gregory, Joe
Sent: Mon May 26 08:49:562008
Subject:
Korea situations sounds promosing. They really are looking to restructure and open up financial services and seems to want anchor
event to initiate the effort, which could be us. I still prefer a Hank or GE solution, but if that is not there, we could make this
strategically based as well.
Between Kunho and ES’ relationship it feels this could become real. **If we did raise 5 billion, I like the idea of aggressively going into
market and spending 2 of the 5 in buying back lots of stock (and hurting Einhorn bad! I).**Lots to do on this, been speaking to Jesse and Kunho.Sounds like the Koreans are serious on this and are looking to do something
aggressive. Could be interesting timing for them, to get some attention away from faster growth Asian economies.
Could be interesting, but as we know these things often don’t go further then the rhetoric!!!
Dave
CONFIDENTIAL LB 008070

Did Paulson (ex Goldman Sachs) lead Fuld (Lehman) a merry dance into his honey trap (bait being new Cap and MTM standards etc) causing the demise of Lehman and the ultimate survival of GS. John Grisham couldnt make this stuff up…

Subject:
Fuld, Dick fL 7@lehman.com]
Saturday, April 12,20082:52 AM (GMT)
Russo, Thomas A ~p 3@lehman.com] <Error -2147221233>
Tom
Just finished the Paulson dinner.
A few takeaways//
I-we have huge brand with treasury
2-loved our capital raise
3-really appreciate u +Reiders work onm ideas
4-they want to kill the bad HFnds + heavily regulate the rest
5-they want all the G7 countries to embrace
Mtm stnds
Cap stnds

Lev + liquidty stnds
6-HP has a womed view of MLl
in all worthwhile.
Dick

Great find BoB! Wow - to see the inner workings of Lehmans (and presumably no-one else is any different?). It’s childish, playground stuff with vast sums of money!

great stuff

(despite our current insolvency)

muppets this lot.

Haha, I thought only Anglo Irish had a revenge fund 8DD

CEO of Lehman’s is apparently a teenage txtr.

wot wuz u up 2?
wuz u gtng pd by de lttr?
spk inglsh 4 fuk sk

-Rd

irishtimes.com/newspaper/fin … 40788.html

https://www.irishtimes.com/newspaper/static/images/2008/1007/1223323540788_1.jpg

John P. Sarbanes, the son of Paul Sarbanes, he of Sarbanes-Oxley fame is now grilling AIG executives on how they got away with bankrupting their company.
Go ask your dad dummy he is the one who left a loophole for Fannie and Freddie to escape the full wrath of Sarbanes Oxley which started this mess, guess thats what you get for 175 million in lobbying. Why does a government agency (Freddie/Fannie) spend 175 million over 10 years lobbying govt representatives ???
(did i mention the democrats Obama and Chris Dodd got the most)

Joe Cassano still on contract to AIG after getting his golden parachute in March and still getting $1million a month of US tax payer money as part of his severance contract. Guess thats why the call it April fools day…
You will provide consulting seúiccs to. the Company as reasonably requested by the Company for a pcriod of nine months, commencing on April l, 2008
and the Company will pay you a consulting fee of one million dollars ($1,000,000.00) per month

Nice piece from Geoff Randall in the Telegraph:

The full video of last weeks hearings into Hedge funds available

Committee Holds Hearing on Hedge Funds and the Financial Market
oversight.house.gov/story.asp?ID=2271

Professor Joseph Bankman, Stanford University Law School, written testimnoy regarding tax status of hedge fund manager earning makes the mind boggle , just how enshrined tax avoidance by these funds was enshrined in law.
As recent as 08 attempts were made to rail these earnings in, but were defeated in the senate.
Riveting stuff, much better than the latest Bond movie, although some poeple may find its contents a bit silly

Panel 1
Professor David Ruder, Northwestern University School of Law, Former Chairman, U.S. Securities and Exchange Commission
Professor Andrew Lo, Director, MIT Laboratory for Financial Engineering, Massachusetts Institute of Technology, Sloan School of Management
Professor Joseph Bankman, Stanford University Law School
Houman Shadab, Senior Research Fellow, Mercatus Center, George Mason University

Panel 2
John Alfred Paulson, President, Paulson & Co., Inc.
George Soros, Chairman, Soros Fund Management, LLC
James Simons, President, Renaissance Technologies, LLC
Philip A. Falcone, Senior Managing Partner, Harbinger Capital Partners
Kenneth C. Griffin, Chief Executive Officer and President, Citadel Investment Group, LLC

We have the biggie today.
Pull up a chair …Live streaming oversight.house.gov/story.asp?ID=2252 and elsewhere Im sure …

****Committee to Hold Hearing on Collapse of Fannie Mae and Freddie Mac - “The Role of Fannie Mae and Freddie Mac in the Financial Crisis” ****
Leland Brendsel, former CEO, Freddie Mac
Daniel Mudd, former CEO, Fannie Mae
Franklin Raines, former CEO, Fannie Mae
Richard Syron, former CEO, Freddie Mac
Edward Pinto, Real Estate Financial Services Consultant, Chief Credit Officer, Fannie Mae, 1987-1989
Dr. Arnold Kling, Federal Reserve Board of Governors, 1980-1986, Senior Economist at Freddie Mac, 1986-1994
Dr. Charles W. Calomiris, Henry Kaufman Professor of Financial Institutions, Columbia University Business School
Thomas H. Stanton, Fellow of the Center for the Study of American Government, Johns Hopkins University

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