Bond God Ranieri Fingered In Computer Associates Fraud

Legendary Wall St. bond man Lewis Ranieri, best known as a former Salomon Brothers vice chairman (who essentially created the mortgage-backed security market) and a star of Liar’s Poker, is among several prominent players at CA implicated by Sanjay Kumar, the jailed former CEO, in a signed affidavit. Another is Alfonse D’Amato, the former Senator from New York. WSJ:

[Kumar] claims that several current and former directors were aware of the company’s fraudulent accounting practices and helped hide the information from government investigators….

Mr. Kumar’s sworn statement, filed Aug. 27 in U.S. District Court in Brooklyn, claims that Lewis Ranieri…had been aware of the practices as early as 2003 and “took steps to conceal the facts” from investigators.

The statement says that Mr. Ranieri instructed Mr. Kumar in 2003 not to disclose to the new chair of the board’s audit committee past accounting practices because he “would have a heart attack.”

Sexy stuff, but irrelevant at this point. Investigators crawled all over the steaming pile of CA dung for years, and the buck stopped at Kumar. If he’d signed his affidavit five years ago, before the Justice Department gave a free pass to Founder Charles Wang (who Kumar has always said personally directed the fraud), Ranieri, D’Amato, et al, his claims might have mattered. At this point, they just serve to further embarrass the jailed CEO.

See Also:
Hedge Fund Fraudster Sam Israel Too Drugged To Plead Guilty’

Bear Stearns: We Didn’t Want Anyone To Know CEO Cayne Was on Deathbed During Crisis

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