SAN FRANCISCO (MarketWatch) -- Federal Reserve Chairman Ben Bernanke said Wednesday that the central bank didn't know about Lehman Brothers' use of controversial transactions that moved roughly $50 billion of assets off its balance sheet less than a year before it collapsed.
During congressional testimony, House Financial Services Committee Ranking Member Spencer Bachus asked if the Fed was aware of Lehman's /quotes/comstock/11i!lehmq (LEHMQ 0.12, -0.01, -6.25%) "accounting gimmicks."
"We did not have that information," Bernanke replied. The Fed "had only a couple people in the company to make sure" Lehman repaid money it borrowed from the central bank's primary lender credit facility, he said.
Read on.
No comments:
Post a Comment