In 2008 Matthew Lee was a senior vice president at Lehman Brothers (LEHMQ.PK), where he had worked for 14 years. On May 16.2008 Lee wrote a letter to several top Lehman executives addressing accounting concerns he had about areas for which he was responsible. He subsequestly wrote a letter about accounting issues, including Repo 105, to a managing director in Lehman corporate compliance.
Lee has told the House Financial Services Committee that he was fired without warning six days after writing the first letter.
(Source: Reuters article posted at wallstreetandtech.com)
Repo 105 was an accounting device used by Lehman to hide assets that, if visible on its balance sheet, would have required it to increase reserves and reduce leverage. This process was reviewed in detail here.
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Lehman Exec Raised Concerns about Repo 105. He Was Fired.
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