<h1>US prosecutors to file civil fraud charges against Ernst & Young over alleged role in Lehman Brothers' collapse.</h1> US prosecutors are preparing to file civil fraud charges against Ernst & Young for its alleged involvement in the collapse of Lehman Brothers. The accounting firm is accused of allowing Lehman to mislead investors about its financial status. The charges, led by New York State Attorney General Andrew Cuomo, could be filed soon and represent the first targeting of a major accounting firm for its role in the financial crisis. The case focuses on transactions that allegedly masked Lehman's true risk. Ernst & Young, which earned significant fees from Lehman, may seek an out-of-court settlement.