Tag Archive | "bonuses"

Lehman Faces More Bankruptcy Trouble

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Trouble continues to escalate for Lehman Bros. who are now being accused of giving bonuses, which were fraudulent transfers made by an ailing company to their execs. Shocker in the world of Wall Street, I know. According to lawyers, bankruptcy claims involving fraudulent transfers made during a certain period of time before a bankruptcy but while a company was insolvent are relatively common in bankruptcy. Bonuses made my Lehman equal $5.7 billion at the end of 2007, according to Bloomberg News.

“When significant payments [are made] to insiders within a year of the filing, it’s heavily scrutinized,” said Steve Jakubowski of the Coleman Law Firm in Chicago.

 

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