A trip down memory lane. Listen to the story or read the transcript here.
The business world has been rocked by one scandal after another in the past decade. From Bernie Ebbers to Bernie Madoff, it’s been a confusing and angry time for investors.
In particular, the past 18 months have resembled a horror movie, with flaws exposed at Bear Sterns, Lehman Brothers, Washington Mutual, Fannie Mae, Freddie Mac and AIG. All of that was accompanied by a 777-point one-day plunge in the Dow (plus plenty of dismal trading days that followed) and more than 7 million job losses.
A great article from a very interesting website. Read the article here.
During the past year, the financial sector has done a lot of wrong. First, it nearly self-destructed. Then it engaged with a set of Washington elites to extract trillions of dollars of public funds to ease its pain. Now, it’s posting record bonuses on the back of that assistance, in a disgustingly entitled manner, as if its profits are based on sheer skill, rather than federal aid, accounting tricks, and regulatory indifference. What’s missing from this reckless scenario? Women.
Read the article here.
A new report alleging corruption in Morgan Stanley’s China operations has sullied the firm’s aspirations to be a good example of corporate social responsibility.
Reuters has published a damning article that alleges Garth Peterson, a former employee at Morgan Stanley in China, is suspected of violating the U.S. Foreign Corrupt Practices Act by engaging in bribery with Morgan Stanley’s government and business contacts in China. The article states Morgan Stanley conducted its own internal investigation and already submitted those findings to the U.S. Securities and Exchange Commission. Peterson was apparently fired in December 2008.