Bear CEO James Cayne comes out with a denial memo. But we wonder: what’s so wrong with the occassional joint? Also … will the real memo please stand up?

Golf, more golf, bridge and some joints. Could life be sweeter? Yesterday the WSJ came out with an article with anon sources alleging that Cayne liked to relax with a joint after bridge tournaments. In particular, Cayne has denied one instance recounted in the article:

After a day of bridge at a Doubletree hotel in Memphis, in 2004, Mr. Cayne invited a fellow player and a woman to smoke pot with him, according to someone who was there, and led the two to a lobby men’s room where he intended to light up. The other player declined, says the person who was there, but the woman followed Mr. Cayne inside and shared a joint, to the amusement of a passerby.

Mr. Cayne denied emphatically that such an incident occurred. “There is no chance that it happened,” he said. “Zero chance.”

Meanwhile, Dealbook has an alleged memo sent out by Cayne to Bear employees — anyone care to confirm?

UPDATED: TheStreet reports that the memo, (unclear which memo they are referring to, but it contains the phrase “I stand by the record of success the firm has had over the 14 years that I have had the privilege of leading this great organization” which is the same as below) was confirmed by an anonymous Bear exec.

To: All Employees
From: James E. Cayne
Date: November 1, 2007
Re: Wall Street Journal Article

Dear Colleagues:

The Wall Street Journal today published an article criticizing my
leadership of Bear Stearns. I stand by the record of success the firm
has had over the 14 years that I have had the privilege of leading this
great organization. I remain, as I have been for many years, intensely
focused on our business.

The article also alleges I engaged in inappropriate conduct outside the
firm. As I stated in the story, this is absolutely untrue.

Thank you for your continued dedication to Bear Stearns, and don’t be
distracted by the noise. I am certainly not.

Jimmy