Jefferies CEO Alleges Fraud in Auto Parts Giant Collapse as Wall Street Braces for Fallout
Jefferies CEO Rich Handler told investors the investment bank believes it was “defrauded” in the First Brands Group bankruptcy that has rattled Wall Street. The auto parts conglomerate’s collapse with over $2 billion reportedly missing has drawn comparisons to Enron from famed short seller Jim Chanos.
Investment Bank Alleges Fraud in Major Bankruptcy
Jefferies Financial Group CEO Rich Handler has reportedly told investors his firm believes it was “defrauded” by First Brands Group, according to recent SEC filing disclosures. The comments came as the investment bank faced scrutiny over its exposure to the auto parts conglomerate’s bankruptcy that has sent shockwaves through financial markets.