Home > Finance > Where Is Former Lehman CEO Dick Fuld Now?

Where Is Former Lehman CEO Dick Fuld Now?

Saturday, September 21st, 2013 Leave a comment Go to comments

Five years after the fall of Lehman Brothers and the largest bankruptcy in U.S. history, Dick Fuld hasn’t been able to successfully get back into the Wall Street mix. Here are some excerpts from a great piece in BusinessWeek that profiles Fuld’s post-Lehman life:

Reputational Harm:

For all that he’s tried, Fuld can’t seem to escape the reach of the past. Although many of his peers also made disastrous decisions, no one on Wall Street has paid a steeper price in reputation and personal fortune. This owes partly to Fuld’s hubris, brutish manner, and aggressiveness—which earned him the nickname “the Gorilla”—but also, his handful of defenders insist, to circumstances and twists of fate beyond his control. As Brad Hintz, a former Lehman chief financial officer, says, “He’s the great Greek tragedy of the crisis.”

Legal Troubles:

Fuld’s professional nightmare has also become a legal one. He’s been named as a defendant in more than 50 lawsuits, including those brought by New Jersey, the Washington State Investment Board, the California Public Employees’ Retirement System, and a class action by Lehman shareholders. Some have been settled; others are still being litigated, including suits by a group of California cities and municipalities and the Retirement Housing Foundation, a charity affiliated with the United Church of Christ, which lost tens of millions of dollars.

Winding Down a Lavish Lifestyle:

Fuld has been winding down a lifestyle that a friend confides was costing him $5 million a year. He sold his 6,000-square-foot apartment at 640 Park Ave. for $25.9 million. His wife, an avid art collector, stepped down from the MoMA board and enlisted Christie’s to sell 16 rare drawings that netted at least $20 million. According to a 2010 Fortune article by Bloomberg Businessweek contributor William Cohan, Fuld reneged on a $50 million pledge to Middlebury College, where he was once a trustee. He never got his pilot’s license—buying a plane might have been too much of a splurge. Property records show Fuld and his wife still own a large home in Greenwich, Conn., as well as the Sun Valley compound, and, for now, the Florida beachfront mansion. Until the lawsuits are settled, however, he can’t be certain he’ll hold on to them.

Source: Where Is Dick Fuld Now? Finding Lehman Brothers’ Last CEO (BusinessWeek)

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