NEW YORK, June 18, 2008 (LAWFUEL) — The law firm of Milberg LLP is investigating possible illegal conduct alleged in class action complaints filed in the Northern District of Illinois against Lehman Brothers Holdings Inc. (“Lehman Brothers” or the “Company”) (Nasdaq:LEH) and certain of its officers and directors.
Specifically, Milberg is investigating whether certain fiduciaries of
The Lehman Brothers Holdings, Inc. Savings Plan (401k) (the “Plan”) may
have violated the Employee Retirement Income Security Act of 1974
(“ERISA”). Violations may have occurred in at least two ways: (1) by
continuing to offer Lehman Brothers stock as a Plan investment when it
was imprudent to do so, and (2) by maintaining the Plan’s investment in
Lehman Brothers stock in the Plan when it was imprudent to do so.
Notably, according to the complaints, defendants failed to disclose
material adverse facts concerning Lehman Brothers financial well-being,
business operations and prospects. Specifically, the complaints allege
that the Company failed to disclose: (1) the true nature and extent of
its exposure to losses in connection with subprime mortgage-backed
derivatives; (2) the true nature and extent of its exposure to losses
in connection with collateralized debt obligations and the timely
writedown of those losses; (3) the Company’s financial statements were
not prepared in accordance with Generally Accepted Accounting
Principles; and (4) Lehman Brothers had inadequate internal and
reporting controls. Milberg is investigating whether, based on the
foregoing allegations, Lehman Brothers stock was an imprudent
investment for the Plan.
If you have or had an individual account with the Lehman Brothers
Holdings, Inc. Savings Plan (401k), and your account holds or held
Lehman Brothers common stock, you may have legal claims under ERISA.
Milberg LLP has been representing individual and institutional
investors for nearly 40 years and serves as lead counsel in U.S.
federal and state courts. Please visit the Milberg website
(http://www.milberg.com) for more information about the firm. If you
wish to discuss this matter with us, or have any questions concerning
your rights and interests with regard to this matter, please contact
the following attorneys: