Lehman Brothers, the firm that collapsed four years ago causing a global financial crisis, misrepresented its financial health prior to its bankruptcy, according to an investigation by 60 Minutes.
“They'd fudged the numbers,” Anton Vakulas, the attorney appointed by the federal bankruptcy court to investigate Lehman Brothers’ collapse told 60 Minutes' Steve Kroft. “They would move what turned out to be approximately $50 billion of assets from the United States to the United Kingdom just before they printed their financial statements.”
The segment, which marks the first time Vakulas has been interviewed since filing his nine-volume, 2,200-page report two years ago, claims there is sufficient evidence to prosecute officials at Lehman. According to Vakulas, Lehman Brothers was intentionally misrepresenting their financial health.
It wasn’t long before that accounting trick, known as Repo 105, caught the attention of whistleblower Matthew Lee but what happened next -- or rather didn’t happen, may have changed the course of history forever.
Watch below to see the entire 60 Minutes segment "The Case Against Lehman":