Treasury Secretary Timothy Geithner says J.P. Morgan's collateral requests from a stricken Lehman Brothers was "immaterial" to the bank's collapse and the filing of the largest bankruptcy in U.S. history.
NEW YORK (Reuters) - The former JPMorgan Chase & Cotrader known as the "London Whale" was not responsible for Lehman Brothers Holdings Inc's bankruptcy and should not be dragged into an $8.6 billion lawsuit accusing the largest U.S. bank of causing it, JPMorgan said.
Yesterday we described in extensive detail just how on September 10, 2008, by way of a glaringly erroneous margin call, either purposefully or by accident JP Morgan managed to extract over $250 million in variation margin cash from Lehman, which may well have been the catalyst for the end of Dick Fuld's megabank as it precipitated several other multi-billion margin calls from both JPM and other banks, ultimate;y leading to Lehman's liquidation filing fi
John Lounsbury submits:I have recently written about the transgressions of Lehman Brothers (LEHMQ.PK) that led up to their collapse into bankruptcy in September 2008. But it is time for me to stand aside for a detailed analysis and indictment delivered in a 24 page report by Prof. William H.
Reuters - A committee of Lehman Brothers creditors is seeking to force U.S. Treasury Secretary Timothy Geithner to testify in connection with an $8.6 billion dispute between Lehman and JPMorgan Chase & Co, Lehman's banker before its collapse.