Lehman Subpoenas Goldman Sachs, SAC, Greenlight, And Citadel In Probe

Tyler Durden's picture

From Bloomberg:

April 19 (Bloomberg) -- Lehman Brothers Holdings Inc., which has been investigating whether any companies may have contributed to its bankruptcy, issued at least five subpoenas to investment firms and hedge funds including Goldman Sachs Group Inc., SAC Capital Advisors LP, Greenlight Capital Inc. and Citadel Investment Group LLC, according to court filings.     

Bankrupt Lehman is conducting its own probes separately from the 2,200-page report by examiner Anton Valukas that was published on March 11.

More to follow.

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BlackBeard's picture

The rats are all eating eachother.

neophyte's picture

The levee has broken. The tidal wave of subpoena's, charges and accusations will continue unabated.Now, whether it will amount to anything meaningful is open to interpretation. Sit back and enjoy this Soap Opera.


Spitzer's picture

Isn't David Einhorn a fairly strait shooter ? He doesn't strike me as the same level of lowlife scum as Goldman and Paulson. Im just guessing though

JohnKing's picture



Einhorn spent his early career working for Gary Siegler, who was formerly the top partner in the investment firm run by Carl Icahn, a corporate raider and ne’er-do-well who owes his fortune to the junk bond finance that he received from Michael Milken in the 1980s. Icahn has various other seamy connections, and has employed people with ties to the Mafia (see “The Story of Dendreon” for details).


Mercury's picture

As I've said elsewhere I think Paulson is one of the good guys but Einhorn is simply unimpeachable as far as I'm concerned.  What a joke. What exactly is the big discovery here? - that he may have unfairly taken candy away from little Richie Fuld?

Give me a fucking break "Tyler" - stop giving credence to this idiocy.

***If you're interested, I'm currently investigating why it is I never got laid the summer I turned 16.  I really wanted to, had several assurances from girls who used their serious voice and yet somehow it just didn't happen.  New information indicates that some of the other boys were spreading the word that my Star Wars memorabilia collection was not as awesome as it actually was. I may finally have found the missing piece to this puzzle....  Please keep an eye on the tips@zerohedge.com mailbox....

tlil5774's picture

I'd recommend reading up on this a bit more before calling Paulson scum...

buzzsaw99's picture

It's all a waste of time and money, the taxpayer will pay for all the lawsuits and the judgements.

Magua's picture

Momma, you always called me a stockbroker instead of an investment manager, and you said I should have gone to law school. You were right on both counts.

ZerOhead's picture

But just WHO could have leaked info to these banks and hedge funds about the nature of Lehmans toxic assets held at quarters end courtesy of the Fed?


Alienated Serf's picture

pissed off people who got laid off and lost their retirement. 

carbonmutant's picture

Circus, Circus...

Public attention is being misdirected

Alienated Serf's picture

yup, from the So. Korean ship sank, def from Hillary spouting off about regional war with Iran and impending US bailout of Europe.

Mitchman's picture

Maybe this will pull back the curtain on that wonderful naked short selling tactic that has become so much a part of our corrupt landscape and will reveal to us who made that $200 million+ in about a week shorting LEH.  Of course, the SEC has not managed to rouse itself to investigate that one or to curb the naked short selling scam.  You don't suppose these guys are going to fight the subpoenas do you?

TheGoodDoctor's picture

Can Goldman be sued under the Patriot Act for financial terrorism? If I am not mistaken the bill went out of its way to define domestic terrorists. Oh, that would be an irony.

JohnKing's picture

No, only little old ladies carrying silverware onto airplanes are subject to enforcement action.

Caviar Emptor's picture

It's not Goldman that's on trial, it's BANKSTERISM.

It's the attitude by Goldman more than the specifics that are being put on trial in the court of public opinion. And true to form, Goldman is proving itself guilty as charged: bold as brass arrogance, haughty disregard of the accusation and of the law are all contributing to a perception. 

They believe they're doing "God's work". They call themselves "Fabulous". Stealing from those less well-endowed is their birthright, after all. Duplicity is a normal part of their business, they'd like us to believe. 

What is in question is the "divine right" of all banksters including those at other firms. Is the law and taxes truly just for the little people? Is the rest of the economy just here to serve at the pleasure of Wall Street going forward? 

There are many questions which the banksters will try to obfuscate using labels like "populist backlash" and "soak the rich". But the future health and vibrancy of the economy is at stake if fundamental flaws and imbalances are left unaddressed and permitted to drift. 

Leo Kolivakis's picture

Hmmm, this is getting interesting...big ass hedge funds subpoenaed here, but I doubt you'll ever see Steve Cohen or Ken Griffin in front of a judge or senate banking committee testifying on these allegations.

Brokenarrow's picture

I find this interesting--stand two, old ex-cons side by side. One of them is  an aged bank robber and the other, Mike Miliken, convicted of a major securities crime. Most view the bank robber as some "low life thug." However, Miliken is busy giving speeches at the Aspen Institute in Aspen, Co., a guest of the Resnick family from Beverly Hills, Ca.


My point? On Wall St money washes away all the sins. You can be the trash of the earth, marry your sister, and have sexual intercourse with your daughter. But, if you have cash, it's always "no problem."


You delve into the backround of most WS "titans" and you will find there is a turd hidden somewhere, including David Einhorn. His association with Larry Mizel of Silverado Savings and Loan infamy is the forst tell. Einhorn is no saint. Believe it.