US Probes of Lehman May Include Fuld Subpoena

NY, NJ prosecutors convene grand juries to investigate stock-offer fraud
By Harry Kimball,  Newser Staff
Posted Oct 17, 2008 2:18 PM CDT
US Attorney for the Manhattan district Michael Garcia is among the prosecutors who have convened grand juries looking into Lehman Brothers.   (AP Photo)
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(Newser) – Lehman Brothers is getting the evil eye from three different US attorneys, who have convened grand juries to investigate the failed investment bank, Bloomberg reports. Prosecutors are particularly interested in a $6 billion stock offering made in June, and suspect Lehman was not straightforward with investors about the financial health of the company.

Prosecutors from Manhattan, Brooklyn and Newark, NJ, have issued 12 subpoenas, a lawyer for Lehman said. CEO Richard Fuld could be among those subpoenaed, according to an unsubstantiated New York Post report. Also subpoenaed are numerous financial entities that had dealings with Lehman. Prosecutors have obtained a wealth of email correspondence from within the company that could be damning.