FOX Business Network (FBN) Senior Correspondent Charlie Gasparino reports former Lehman Brothers Chief Executive Dick Fuld was working at Legend Securities beginning in May of 2010 which caused the firm to come “under tremendous regulatory scrutiny.” Regulators began questioning the CEO of Legend asking, “what is Dick Fuld doing for your firm?” and because Fuld was unable to “get registered at the state level” or “gin up business” he was forced to resign.

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Watch the latest video at <a href=”http://video.foxbusiness.com”>video.foxbusiness.com</a>Excerpts from the report are below.

On former Lehman Brothers CEO Dick Fuld:

“Legend Securities is a very small brokerage firm. Dick Fuld joined that firm in May 2010. He left and it went right under the radar screen in September of last year. The question is why? The firm came under tremendous regulatory scrutiny. They kept peppering the CEO of the company, asking what is Dick Fuld doing for your firm? They couldn’t really answer that, and he had to go. If you are on Wall Street, you have to be domiciled at a firm. If you don’t do business there, the regulators will say, why is his guy parking his license at your firm? And that’s what happened here. Basically he had to leave. It was a voluntary resignation, but there is no doubt Dick Fuld, because he couldn’t gin up business, had to leave. He could not get registered at the state level. He has no Wall Street employment. He is out of the securities business.”