According to a December 20, 2010 Wall Street Journal article, New York prosecutors are about to file a civil lawsuit alleging accounting giant Ernst & Young stood by and allowed Lehman Brothers to mislead investors (and regulators) about the investment bank’s declining financial condition.
Lehman Brothers was one of the big four accounting firms top clients, generating over $100 million in auditing fees from 2001 through the firm’s collapse in late 2008. The fraud allegations are part of a larger investigation to determine if a number of banks and financial institutions moved dept off their balance sheets prior to reporting their financial results…thus understating the risk associated with an investment in the companies.
The attorneys at Colling Gilbert Wright & Carter are actively investigating and filing FINRA arbitration claims against financial institutions bases on misrepresentation of the risk associated with investments in those firms. If you have lost money investing in Lehman Brothers or the debt of other banks and brokerages, please contact our office for a free case evaluation. Thank you.