Will the Fallout From a Failed Hedge Fund Steal the Smile From Vikram Pandit's Face?

Pandit
Photo: Corbis

FINANCE
• Governor Paterson isn't the only one with a headache. Citigroup chief Vikram Pandit now has to deal with the fact that one of his company's hedge funds has caused major losses for at least three large U.S. banks. [WSJ]
• Meanwhile, Pandit is tightening the purse strings and allowing employees to keep their jobs — but not their bonuses. [CNBC]
• Activist investor Carl Icahn is making a huge gamble as he tries to shake up Yahoo. But what if he wins? [NYT]

MEDIA
• The White House says that NBC "deceptively" edited an interview with President Bush. "This deceitful editing to further a media-manufactured storyline is utterly misleading and irresponsible," said White House counselor Ed Gillespie in a letter to the network's news president Steve Capus. [Hill]
• The New York Post reporter who is suing the NYPD for civil-rights violations was fired from his job. Neither side is commenting on why. [NYDN]
• Pick up your needles and crotchet a welcome mat! Women's Wear Daily has decided to join whole Web 2.0 thing. [Mixed Media/Portfolio]

LAW
• The SEC is suing eight former AOL executives for allegedly overreporting ad revenue by more than $1 million. Four have settled, but lawyers for the other four say that their clients will vigorously defend themselves in court. [NYT]
• Carrie Bradshaw was broken up with on a Post-it note. These Florida lawyers learned about their 12 percent pay cut from … a podcast. [Law.com]
• A ninth-grader is charged with grabbing a teacher "around the neck, holding her tightly and simultaneously ground his knuckles into her scalp" — in other words, giving a noogie. [Law.com]

REAL ESTATE
• Goldman Sachs and real-estate developer Related Co. inked a $1 billion deal to acquire the largest undeveloped parcel of land in Manhattan. [WSJ]
• The Lower East Side just isn't what it used to be. Now there are only "about half a dozen underwear shops left in the area." [NYT]
• An ecofriendly Bryant Park condo-hotel is going to break ground in August. [NYO]