On the morning of Saturday, Sept. 13, 2008, Treasury Department official Tony Fratto was talking to a friend at a major New York City investment firm. The offices at every big bank in the city, Fratto's friend told him, were packed with staffers trying to figure out their firms' counterparty risk to Lehman Brothers.
"To me, that was just jaw-dropping," Fratto said.
The legendary investment bank had been teetering on the brink of collapse for months. To think that banks were only now...Full Story