How A Sheepskin `Fell Through The Cracks'

Joseph Jett, fired this spring from Kidder Peabody for allegedly racking up $350 million in fake trades, fulfilled all of the requirements for his Harvard MBA in 1987 but didn't get it. Why? Jett didn't pay a small balance on his tuition bill, says his lawyer, Kenneth Warner.

Warner says the former trader couldn't pay in 1987 because he lacked the funds to make up for a fellowship that unexpectedly fell through--for reasons having nothing to do with him. But he has since paid up, says Warner, and "the diploma will be forthcoming." Why didn't he do this when he started making big money? The matter fell "through the cracks," says Warner.

Harvard confirms that Jett fulfilled all of his academic requirements but won't comment on why Jett didn't graduate, deferring to federal laws protecting students' privacy.

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