New York Attorney General Sues Ernst & Young, alleging Lehman accounting fraud
THE big accounting firm Ernst & Young helped Wall Street investment bank Lehman Brothers fraudulently conceal its deteriorating financial condition before its collapse in September 2008, New York Attorney General Andrew Cuomo charged on Tuesday. The NY AG in his Statement said, “This practice was a house-of-cards business model designed to hide billions in liabilities in the years before Lehman collapsed. Just as troubling, a global accounting firm, tasked with auditing Lehman's financial statements, helped hide this crucial information from the investing public.”
The Suit seeks more than USD150 million in damages.