Remember when besuited money-Gollum and CEO of Lehman Brothers Dick Fuld denied knowing that his bank was headed for a ditch in 2008? Well, internal emails and documents released by the law firm who performed the "post-mortem" on Lehman reveal that the bank's executives were repeatedly warned about the risks the company was taken, and willfully ignored them.
William Cohan at Bloomberg found one exchange between Fuld and David Goldfarb, the bank's CFO, concerning a possible injection of capital by Chinese investment bank Citic Group, capital the bank desperately needed. But that would violate rule #1 of Old Rich White Guy Code: never show weakness, especially in front of the Chinese.
"This will signal a major sign (which obviously isn’t true and will feed into rimors, etc) and put us in a category of those who needed an infusion to help them out of this market mess," Goldfarb writes. "How do you spell stupidity in Chinese!!!” Ha-ha isn't it "G-O-L-D-F-A-R-B?"
Fuld responds, “I agree we need some help—but the Bros always wins!!” Actually, its the "Fulds" that always win: Dick Fuld raked in around $500 million in compensation between 2000 and 2008 while driving the bank (and a huge portion of the global economy) into the ground.
For more enthralling, infuriating details about the financial crisis and why we should be keying Eric Holder's car every day until he starts prosecuting these people, check out Frontline PBS' superb, 4-hour-long documentary, Money, Power, and Wall Street.