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A cautionary tale about relying entirely on external advisors. There had been rumours about L&H's book-cooking for a couple of years before the Dragon acquisition and a Goldman Sachs analyst was quoted on the topic [1].

A sad outcome for the Bakers but they weren't entirely blameless (although Goldman Sachs were certainly very lucky to get away scot-free).

1: http://www.wsj.com/articles/SB912638848485991000




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