Richard Fuld, whose firm went bankrupt last month, made the statement during testimony before the House Oversight and Government Reform Committee.
The panel is holding its first hearing into the cause of the financial crisis.
It is being held amid renewed market turmoil, with shares plummeting further in Europe and the US.
Mr Waxman also criticised Mr Fuld for requesting multi-million dollar bonuses for departing executives just days before last month's collapse.
"In other words," he added, "even as Mr Fuld was pleading with [Treasure] Secretary [Henry] Paulson for a federal rescue, Lehman continued to squander millions on executive compensation." Full story...