Lehman's Fuld to testify at congressional hearing
Disgraced CEO Richard Fuld, who oversaw the demise of venerable Lehman Brothers Holdings Inc that helped tip the credit crunch into a full-blown crisis, will testify at a congressional hearing next week, reported Reuters.
Rep. Henry Waxman, the Democratic chairman of the U.S. House of Representatives Committee on Oversight and Government Reform, has called Fuld and former chief executives of insurer American International Group Inc to appear at hearings into the financial excesses that led to the collapse of the companies.
"Lax oversight and reckless investments on Wall Street are causing massive disruption throughout our economy," Waxman said in a statement on the committee's website. "Our hearings will examine what went wrong and who should be held to account."
The hearings are likely to be testy, given the foul mood of the U.S. Congress after having had to swallow a $700 billion bailout package to keep Wall Street from bringing the entire nation's economy to it knees due to a stifling credit crunch.
Waxman has a reputation for raking high profile corporate executives over the coals as cameras roll.
Fuld is scheduled to appear before the committed on Monday in what would be his first public appearance since Lehman filed for bankruptcy.
On Tuesday, the committee will take on former AIG CEOs Robert Willumstad, Martin Sullivan and Maurice "Hank" Greenberg.
A spokeswoman for Lehman Brothers declined to comment.