THE DOT - if this turns orange or red be alert

Tuesday, July 15, 2008

new dimension in the manipulation - LEH wants to go private

The reason why Lehman wants to give out an unusual half-year bonus in the form of stocks suddenly makes sense, in an obscure plan to take Lehman private. That is something the SEC and FED should have a close eye on. In order to make it a lucrative deal, Fuld's interest is to dump the stocks, so that he can make a cheap offer to take over the entire company. He is trying to turn a bad situation into a windfall for himself, since he is the biggest stockowner, together with the other employees. That is a dangerous and inappropriate approach for the regular stockowners, since we have a conflict of interest.

Excerpt from CNBC
Lehman Brothers Chief Executive Richard Fuld is considering ways to take the Wall Street investment bank private, the New York Post reported on Tuesday.

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