Rubin to rise to the Citigroup challenge?

The drumbeat of criticism of those high-paid directors at Merrill Lynch, Citigroup and others banks is picking up. Regarding Citigroup, some have noted irony in the fact that Robert Rubin, the man who is running things temporarily, was the most influential Citigroup director. The New York Times notes Rubin has moved quickly to shore things up and began a CEO search. But does he and his fellow directors also deserve some of the blame? These are big issues. Sarbanes Oxley was designed to prevent fraud. But it was not designed to prevent strategic screw-ups. At some point, the board can only advise; it cannot dictate strategy. That said, it is reasonable to ask why someone on the board didn't raise some red flags. Stay tuned.  

For more:
- here's a New York Times article
- more criticism of Citigroup's board. Article
- Citigroup memo: executive moves to combat subprime fallout. Article
- Is Charles Prince being scapegoated? Article

Related articles:
- Weekend drama leads to Prince's resignation
- Citigroup may never be the same