At Salomon, The King Is Dead But Few Are Crying

If pressure from Federal Reserve Bank officials hadn't persuaded John H. Gutfreund to submit his resignation as chief executive officer of Salomon Brothers Inc., it's likely that Gutfreund would have been deposed from within. No one was angrier at Gutfreund's belated disclosure of serious improprieties in Salomon's government-bond-trading operation than were the firm's other senior executives, almost all of whom apparently were kept in the dark. Says one Salomon manager: "The reaction here was, `You bastard. Why should we walk the plank for you?' "

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