10 yrs of Lehman collapse: How a crisis snowballed into a global meltdown

The second part of the multi-part series on the 10th anniversary of the collapse of Lehman Brothers looks at how some large banks and their CEOs fell

The first tremors of the global financial crises could perhaps be traced back to when the Federal Home Loan Mortgage Corporation (Freddie Mac) said in February 2007 that it would no longer buy risky subprime mortgages, nor would it invest in related securities.

Within two months, New Century Financial Corporation, a leading player in the subprime mortgage segment, filed for bankruptcy. A string of financial institutions followed and in August, 2007, another key lender American Home Mortgage Investment Corporation filed for bankruptcy. The ripple effect was felt across the Atlantic too and in the UK, the Bank of England got