Dick Fuld is ready to restore his good name! The former CEO of Lehman Brothers and current Wall Street punching bag set up a new company a few months ago called Matrix Advisers, and now sources tell the Post that Fuld plans to use focus his energies at the firm on raising capital for small businesses. It's not quite as straightforward as simply apologizing and publicly acknowledging that mistakes were made. But why take the easy route? [NYP]
Former Lehman Brothers CEO Dick Fuld has been out of sight for months now. (He's been spending much of his time holed up at his house in Idaho.) His problems, howver, continue, it seems. Over the past year, he's unloaded part of his art collection, sold off his apartment on Park Avenue, and given up his memberships at several high-priced country clubs. And yet he's now a bit behind on the $212,000 property tax bill for his house in Florida— the one, as we first reported, that he flipped to his wife for next to nothing last November. [TDB]
Wall Street CEOs make a fortune, as you're undoubtedly aware. Even the chief executives of banks that have been bailed-out by Washington or have gone bust usually end up doing nicely. But despite the riches and perks these men have accumulated and massive egos they've developed along the way, few of them would do all that well in a beauty contest. Because it's high time that Wall Street take advantage of the miracle of modern science—and because we care, dammit—we took the liberty of contacting Dr. Anthony Youn, a board-certified plastic surgeon who has made appearances on Dr. 90210 and the Rachael Ray Show, to ask him what procedures he'd suggest these titans of finance consider if they want to look their very best. Dr. Youn's answers and cost estimates—and our commentary—is below.
Big news for golf aficionados who also happen to be closely following the one-year anniversary of the collapse of Lehman Brothers. As Reuters reported last week, ex-Lehman CEO Dick Fuld gave up his membership at the Blind Brook Country Club in Purchase following his fall from grace last year. Our trusted source for all mogul-related golf news now tells us that Blind Brook isn't the only club that no longer has the pleasure of Fuld's company. He's also abandoned his membership at the Quaker Ridge Golf Club in Scarsdale. Clearly, the situation has gone from bad to much, much worse.
It's been a year since Lehman Brothers went bankrupt, an event that rocked the financial markets around the world, unleashed a wave of panic, and changed Wall Street forever. Did you think the merchants of Lehman memorabilia on Ebay would miss out on this priceless opportunity to offer up "one-year anniversary specials" of Lehman-branded junk? Of course they wouldn't.
The movie about the fall of Lehman Brothers aired on the BBC last night. The Financial Times' Alphaville blog wasn't the least bit impressed with the "cringeworthingly hilarious" made-for-TV production. The "failed irony, bad acting and moral superiority," along with "overly earnest analogies to the movie Fight Club" and "a very sweaty OCD-obsessive clown-like Dick Fuld," gave it "the quality [of a] straight-to-video release," Izabella Kaminska reports. We'll leave it to you to decide how the filmmakers fared in terms of casting. From left to right: actor Henry Goodman as Morgan Stanley chief John Mack; and Michael Brandon as "brash tough-talking" JPMorgan Chase CEO Jamie Dimon. Update: Dealbreaker has a clip of the movie here. [FT]
It's been nearly a year since Lehman Brothers went bust, making it the perfect occasion to send a reporter to hunt down Lehman's former CEO, Dick Fuld. A Reuters correspondent managed to find him last Friday, looking tan and dressed in and well-rested at his "country house in a bucolic setting beside a river and amid tree-covered slopes in Ketchum, Idaho." So how's he doing?
Joe Gregory, the cash-starved former president of Lehman Brothers, hasn't had much luck selling his oceanfront house in Bridgehampton. (He cut the price from $32 million to $27.9 million a few months back, although that hasn't helped any, apparently.) Time to move on to Plan B, it seems. Gregory is now asking a bankruptcy judge to pay him the $232,999.548.71 he says he's owed in deferred compensation "in the form of performance- and restricted-stock grants." Now that's rich, isn't it? He helped run the bank into the ground and now he'd like to get paid for his "performance"? We're not quite sure how Gregory came up with this $233 million figure, but we're inclined to think the judge should cut him a check for $19.99. That way Gregory can go to Staples and buy himself a Brother P-Touch 80 so when he makes outrageous financial demands in the future, he'll at least be able to affix a profession-looking label to the envelope. Just because you had a hand in the biggest bankruptcy in U.S. history and your reputation is now ruined doesn't mean you can get sloppy! Gregory's handwritten submission to the court below.
Leave it to a former employee of Lehman Brothers to come up with the worst name for a hedge fund ever. Edward Filippi, who once sold commodity investment products for Lehman, is the founder of Ground Zero Strategic Commodities: "Putting the words 'ground zero' in a hedge fund name may disturb many people, as it undoubtedly conjures up images of the site where the World Trade Center was destroyed nearly eight years ago." You think? [NYT]
Stephen Dannhauser, the chairman Weil, Gotshal & Manges, has every reason to be sitting smugly in his office chair in the middle of Midtown. Last week, a judge signed off on the firm's $55 million tab for the work Weil has performed in connection with Lehman Brothers' bankruptcy; this week, the firm submitted another bill for $45.2 million more. Kenneth Feinberg, President Obama's pay czar, has suggested putting some sort of cap on Lehman's legal expenses going forward. Why? Isn't a $15,000 postage bill and $67,000 in business meal expenses perfectly reasonable? Ordering in dinner from Le Cirque every night isn't free, you know. [WSJ]
As if former Lehman chief Dick Fuld wasn't enough of a villain as it is given his role in the investment bank's collapse last fall, it turns out he was a tax cheat, too. The Times reports today that the Bloomberg administration is accusing Lehman of failing to pay the city some $627 million in taxes between 1996 and 2008.