Purcell Got Out Just In Time
Self-enrichment just got a little harder at Wall Street laggard Morgan Stanley. At a meeting on Tuesday, shareholders backed a proposal requiring the bank to get their OK for any golden parachutes that are more than three times an executive’s annual comp. How you liking that $60 million cash-out, Phil?
Morgan Stanley Severance Targeted [MarketWatch]
Lazard Chief Takes Something Out
For the first time since he took the reins at Lazard, Bruce Wasserstein is taking taking something out of the firm. In return for his work in 2005, which included taking the venerable family-owned firm public, the big man received $4.2 million in salary and another 288,443 shares of restricted stock worth an estimated $10 million. While nothing to sniff at, Bruce’s package doesn’t come close to those of other Wall Street heads, like Hank Paulson ($38 million), Stan O’Neal ($35.5 million) and Dick Fuld ($34.5 million).
Bruce Gets $14M in Pay [CNN Money]
Citi Misbehavin’ Down Under
The Aussie version of the SEC is throwing around some big accusations at global banking giant Citigroup, alleging that its Global Markets group engaged in insider trading to the detriment of a client--Toll Holdings--it was advising on an acquisition at the time. “ASIC is saying that Citigroup fell down on both fronts in relation to its role as adviser to Toll. ASIC alleges that Citigroup traded on inside information and directly against the interests of its client, Toll.” Where we come from that’s called looking someone in the eye while you fuck them.
Australian Watchdog Alleges Insider Trading [Yahoo]
Lehman Pissing In the Wind at Environmentalists
Seems that Lehman Brothers hasn’t been making itself any friends in coastal area of Southern Connecticut where many Wall Street big shots own have summer homes. After years of trying to develop a 1,000-acre swath of forest full of the kind of ingredients environmentalists love to save--wetlands, vernal pools (whatever the hell those are) and rare plants--the firm suffered another setback when Old Saybrook’s inland wetland commission voted 4-3 against its latest plan. What’s a multi-billion-dollar investment firm to do? The Hartford Courant advises Lehman to cut and run:
The Preserve has become a rallying point for a well-organized and vocal coalition of residents, environmental groups and state officials who want the land protected from development. It is also the subject of legislation, introduced by state Rep. James Spallone, D-Essex, authorizing the state to bond $8 million toward the purchase of the land. That bill won the unanimous approval of the Environment Committee last week. Environmental officials and representatives from Old Saybrook, Essex and Westbrook have also expressed interest in helping with the purchase. By negotiating a realistic agreement, Lehman Brothers would be cutting its losses and capitalizing on a high-profile moment of goodwill.
You’d think they would have just paid off the right people by now.
Lehman Brothers: Sell Preserve [Hartford Courant]
