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...prospect of a trial - not to mention the enormous financial penalties BAE would face if found guilty - was enough to worry some of the firm's investors. The company's stock fell more than 5% Thursday following the SFO's statement. After a checkered few years, BAE's reputation will likely fare little better. Concern for Britain's national security pushed the British government in 2006 to order a halt to a separate SFO probe into allegations that BAE paid bribes to secure business with Saudi Arabia in the mid-1980s. The inquiry into the $69 billion "Al-Yamamah" arms...

Author: /time Magazine | Title: U.K. Defense Contractor Faces Bribery Rap | 10/1/2009 | See Source »

...bungled "Al-Yamamah" probe. (Britain's High Court ruled in 2008 that the SFO had acted unlawfully in scrapping the inquiry, a decision later overturned by the House of Lords.) And the prosecution of BAE for overseas corruption would be only the second such case against a British firm. Building contractor Mabey & Johnson was last month fined $10.5 million for similar offenses dating back to the early 1990s. (Read: "The Gulf: An Exquisite Balancing...

Author: /time Magazine | Title: U.K. Defense Contractor Faces Bribery Rap | 10/1/2009 | See Source »

...weekend before Lehman Brothers' collapse, Merrill Lynch CEO John Thain turned to Lewis for help. Thain called Lewis to offer him 10% of his firm. Lewis said he wanted it all. By the end of the weekend, the deal was done. Lewis was hailed as a hero for saving Merrill on the same morning that Lehman was forced to file for bankruptcy. (See the top 10 bankruptcies...

Author: /time Magazine | Title: The Rise and Sudden Fall of Bank of America's Ken Lewis | 10/1/2009 | See Source »

...financial meltdown has claimed the careers of many banking-industry stars. But no executive has had as big a roller-coaster ride during this crisis as Lewis. At its start, Lewis and Bank of America looked to benefit from the turmoil facing the banking business. The firm, based in Charlotte, N.C., had never been a big player in the subprime-mortgage business, in either lending or underwriting loans. That prudence led to smaller lending losses at B of A than at Citigroup and other rivals. What's more, while other financial firms were verging on broke, Bank of America seemed...

Author: /time Magazine | Title: The Rise and Sudden Fall of Bank of America's Ken Lewis | 10/1/2009 | See Source »

...Army sergeant and a nurse, Lewis grew up in Columbus, Ga. He joined the firm that would become Bank of America right after graduating from George State College in 1969. Early on, Lewis' cool demeanor and keen credit judgment caught the eye of the bank's chief executive, Hugh McColl. Soon Lewis became the wingman to McColl's swashbuckling merger ways. McColl would do the deals, and Lewis would parachute in to do the cost-cutting and integration. Along the way, the two built Bank of America to become the country's largest bank in terms of deposits...

Author: /time Magazine | Title: The Rise and Sudden Fall of Bank of America's Ken Lewis | 10/1/2009 | See Source »

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