Scandal: Lehman Brothers' bankruptcy
Best quote from the testimony: "Mr. Fuld will do fine ... But taxpayers are left with a $700 billion bill to rescue Wall Street and an economy in crisis." — Democratic Representative Henry Waxman of California
The credit crunch became a full-fledged financial collapse when Lehman Brothers, the fourth largest investment bank in the U.S., declared bankruptcy on Sept. 15, 2008. Lehman CEO Richard Fuld was quickly vilified for the nose-diving economy that the government was forced to bail out. After all, his company had pawned off toxic loans while he raked in more than $500 million in compensation. In October 2008, Fuld appeared before the House Oversight Committee, apologetically taking "full responsibility" for his company actions. But he quickly went into defensive mode when committee chairman Waxman questioned his huge profits and bonuses in the months leading up to the bank's collapse.