Description: Almost two years ago to the day, a team of officials from the Securities and Exchange Commission and the Federal Reserve Bank of New York quietly moved into the headquarters of Lehman Brothers. They were provided desks, phones, computers — and access to all of Lehman’s books and records. At any given moment, there were as many as a dozen government officials buzzing around Lehman’s offices.

Source: NYTimes.com

Date: 03/15/2010

Link: http://www.nytimes.com/2010/03/16/business/16sorkin.html

Questions for discussion:

• Summarize the “Repo 105 strategy” used by management.
• Do you consider any behaviors unethical or illegal?
• Do you hold the SEC responsible for any wrong doing?
• Do you believe regulations should be changed to prevent the use of “Repo 105 strategy”?