Lehman Managers Portrayed as Irresponsible

The New York Times reports:

Perhaps with an eye on questions about his public statements, Mr. Fuld stated in prepared testimony that he said “what I absolutely believed to be true” when he remarked in 2007 that the worst of the credit crisis was behind Lehman.

He attributed some blame to the media in his testimony, saying some coverage “has been sensationalized — based on rumors, speculation, misunderstandings and factual errors.”

Mr. Fuld also noted that the same day Lehman filed for bankruptcy protection, the Federal Reserve eased lending requirements for other investment banks, something executives at Lehman say they believe could have saved the bank had it been done earlier. He also described his efforts to save the company, including by becoming a deposit-taking bank holding company. That effort by Lehman, later executed by Goldman Sachs and Morgan Stanley, was rebuffed by federal officials.

We have a feeling that if Hank Paulson came from Lehman,Lehman would still be around.