Big companies that went bust

[ehsan]

Re: Big companies that went bust

@Contrarian

Recently read about another investment bank that can be partly held responsible for Asian financial crisis, Peregrine Investments Holdings. One thing common in these crises is the recklessness along with lax risk management frameworks. And of course the herd mentality.

Agreed. The bank management and system are equally to blame. Three banks went down or suffered huge losses due to rogue traders. The question is how can a company’s system allow one employee to gamble away billions of $ without any checks and balances.