JPMorgan Says Lehman Dumped 'Goat Poo' Assets On It

Law360, New York (February 18, 2011, 7:48 PM EST) -- Lehman Brothers Holdings Inc. and Barclays PLC dumped securities they called “goat poo” and “toxic waste” on JPMorgan Chase & Co., it claims in an adversary suit over prebankruptcy transactions between the companies.

JPMorgan’s amended counterclaims, filed Thursday in the U.S. Bankruptcy Court for the Southern District of New York, reassert allegations that Lehman colluded with Barclays to ensure that JPMorgan was on the hook for $25 billion in unpaid loans backed by worthless securities.

Lehman and Barclays hid the “toxic” securities from JPMorgan to ensure...
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