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Former Lehman CEO plans advisory firm
 
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December 13, 2008 17:07 IST
Dick Fuld, former chief  executive, widely criticised for pushing Lehman Brothers into bankruptcy, plans to launch an advisory firm. 

The 62-year-old Fuld, who run Lehman for nearly 15 years,  is considering to launch a firm to advise small companies on  financial and strategic issues.

British daily the Financial Times has reported that Fuld plans a comeback and has told friends that he might  launch a small advisory firm to harness his contacts in US companies.

Quoting people close to the development, the report said,  "Fulds plans were neither firm nor immediate because the legal  and political fall-out from Lehman had still to play out."

According to the report published online on Friday, the former Lehman chief executive has told former colleagues and clients that he has no intention of retiring.

"He has argued that his long experience of Wall Street and the corporate world can still be valuable to companies and chief executives," the Financial Times noted.

Further, quoting people close to the situation, the daily said that one of the options Fuld is considering is the launch of a small advisory boutique to help companies with strategic and financial issues.

Battered by the financial turmoil, Lehman filed for bankruptcy protection in September.

"Some Wall Street figures doubt whether Fuld would be able to persuade chief executives to hire him for advice after he was sharply criticised by politicians and investors for his stewardship of Lehman," the daily said.

Fuld is under contract with the company until the end of  the year.

"He will not receive a severance payment and is believed  to have lost more than $1 billion on Lehman shares, the value of which was wiped out by the bankruptcy," the daily  said.

The Financial Times further noted that two other high-profile victims of the credit turmoil -- Chuck Prince, Citigroup's former chief executive, and his hitherto counterpart at Merrill Lynch, Stanley ONeal -- have resurfaced.

"Prince joined Stonebridge International, a strategic  consulting firm, as vice-chairman in September, while ONeal is believed to be considering an offer from Vision Capital  Advisors, a small hedge fund and private equity group," the report added.


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