The sense of hubris that was prevalent at Lehman Brothers before the fall is well documented in a new
book The Devil’s Casino: Friendship, Betrayal and the High Stakes Games Played Inside Lehman Brothers, by Vicky Ward. It mentions that one of the top honchos in the firm, Chris Pettit, got by with a personal spending budget of $ 15 million (!!) a year. With leadership of that kind it is no surprise that the company had to hit the rocks sooner or later. The question one has to ask is what lessons - if any - has the securities industry from the credit crunch?
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