also this week, renaud laplanche stepped down as ceo of lending collapse -- lending club. after they disclosed. how is my french on the pronunciation of the name? and is the whole industry of peer-to-peer lending -- can people trust it? tom: there's a big re-examination going on, not just of lending club but of the entire category. they came onto the scene several years ago with a lot of fanfare. the idea, if you think about it, makes a lot of sense. it's a way for you as an individual to make a loan to someone else. maybe some of you know, but maybe someone you don't know. maybe make a little extra money. and for the borrower, it is a way, an alternate form of lending. brad: but it has revolved into something much more traditional. tom: the banks and financial services companies have become a bigger and bigger source of this lending. exactly. it is not an alternative anymore in many instances. now, when you have an in stance asking about the ceo's investment in a particular client or company, and questions about whether these loans were dated incorrectly, it raises questi

reports that the embattled online form -- we saw the resignation of the former chief executive renaud laplanchecandal is moving beyond the u.s. we have more on that story. is the lending club scandal moving overseas, crossing the atlantic to our own peer-to-peer lending industry? >> i think it is too soon to say it is affecting the industry over here. the scandal broke at the beginning of the month. it is raising eyebrows. it sent ripples are the universe -- industry in the u.k. mark: how big our weight relative to the u.s.? armed with a country that invented peer-to-peer lending? in 2005.rted the u.s. industry just accelerated. the u.k. industry is about 1/5 of what the u.s. is. the main difference is the u.s. has the backing of institutional investors which has accelerated growth, whereas in the u.k. it is small retail. shery: how is this scandal in the u.s. affecting the u.k. market and what are the repercussions going forward? >> at the moment it is raising questions. u.k., people are very quick to separate themselves from the u.s. for start, they approached regulators over here to look int

there's renaud laplanche who is no longer the ceo. a package of loans being sold that was originated by lending club. it is not a question of the underlying credit quality of loans. simply documentation associated with the $22 million package was not what had been requested by the buyer, which requires documentation of a different type. apparently it began because of something that appeared more serious, about 3 million of 22 million in loans also had a change made in the application date for the loan. again, it doesn't seem to get to the underlying credit quality, but what occurred is that was found a change in application day. further review found this documentation differential from what the buyer wanted of the loans. and that led the board, seems to have questions with the ceo, and not to be given what it felt was full disclosure or the ceo not being completely forthcoming with the board. john, talking about a board that includes john mack, former ceo of morgan stanley. mary meeker, and a fairly high level board that simply felt i

. >>> lending club has accepted the resignation of renaud laplanche as its chairman and ceo.he board determined laplanche violated the company's business practices following a review of sales of near prime loans. lending club says president scott sanborn will take on acting ceo duties with board director hans morris serving as executive chairman. you can see this news pressuring the stock significantly. this does appear to go back to actually something that began with the review of a smaller group of loans, $3 million of loans that appeared to have had the dates in terms of the application dates changed. this got the attention internally of some people who then instituted a review that was expanded. and they found that $22 million in loans that were going to be bought by a certain institution, which i believe is jefferies, the documentation from those loans, you can document things one way or another way. and apparently, the buyer in question liked certain documentation done one way and these were done another way. this is not a huge issue, it would seem, but in the internal

i'll give it a shot renau renaud laplanche left the country after the board terminated -- you probablyhat great french skunk character. that's probably politically incorrect. i apologize. i don't know how to say it. >> i think it's renaud -- >> determined he violated company guidelines on business practices and disclosures. the company's president, scott sanborn will serve adds acting ceo. shares are down sharply and should disappoint out that paris is my favorite place and my entire place. we love the french people more than anything and the rich, creamy sauces. great wine. >> nothing to argue about. >> >> earnings and revenue the beef and poultry producer said it was pleased with the results and what typically is the most challenging quarter of the year. they have a big capitals president. >> they do. >> he used the words islamic extremism. and tribune publishing adopting a shareholder rights plan. this comes in response to an unsis litted acquisition proposal. this just out from valeant pharmaceuticals. it expects to file the first quarter finances on or before june 10th. last week