Crimes at Goldman Sachs? The Feds are on the Case
April 30th, 2010 admin
The Wall Street Journal’s Susan Pulliam and Evan Perez broke the news on Thursday that federal prosecutors have launched a criminal investigation into whether Goldman or its employees committee securities fraud in connection with its mortgage trading.
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Suffice it to say, this wasn’t a good week for Goldman Sachs (examples here and here ) — other than that by now most of its employees are kickin’ it in a sleek new Manhattan office . By now, you’ve probably heard about the Securities and Exchange Commission’s allegations that Goldman sold a financial product tied to...
Expect all of Saturday’s newspapers to be filling their front pages with this breaking news: The Securities and Exchange Commission sued Goldman Sachs and one of its employees for civil fraud, alleging they defrauded investors in selling a financial product tied to subprime mortgages, in 2007. Here’s the suit . The potential financial...
When the Securities and Exchange Commission sued Goldman on Friday, it filed a civil complaint in federal court that, at 22 pages, seemed mighty short compared to most of the complex securities-fraud cases we read each day. And because Goldman’s defense wasn’t reflected in that document, we were sure more facts would spill out in the...
The Securities and Exchange Commission’s inspector general is extending a probe of the agency’s recent civil-fraud settlement against Goldman Sachs to include the timing of the suit’s settlement last week.
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Let’s get you caught up on the latest in the Goldman v. SEC case: Reader beware, it’s buyer beware. There may indeed be cracks for the SEC to exploit in Goldman’s caveat emptor strategy, but the signs point to their jumping on and riding it hard. After all, reports Bloomberg’s William McQuillen and Patricia Hurtado , it’s...
“Cleveland loses appeal of Wall St. mortgage case; City alleged public nuisance from securitizations”: Reuters has a report that begins, “The city of Cleveland lost its appeal on Tuesday of a lawsuit accusing 22 Wall Street bank and mortgage lenders of creating a public nuisance by creating risky mortgage securities to be sold to...
The fate of Goldman Sachs, at least for now, is in the hands of a federal judge who made a name for herself as a prosecutor pursuing mafia cases. The SEC’s civil case against Goldman, in which it accuses Goldman of defrauding customers who bought investments tied to risky mortgages, was wheeled out to Federal Judge Barbara S. Jones in the Southern...
April might be the cruelest month, but for the plaintiffs securities bar, March certainly wasn’t a walk in the park. During the last few weeks of March, defendants (namely, banks and other financial institutions) won dismissal motions on a bunch of lawsuits in which plaintiffs had sued for fraud, alleging that losses suffered during the financial...
(Kenneth Anderson) I’m sure many VC readers have been looking at the papers today, trying to sort out facts versus allegations, in the SEC suit against Goldman Sachs for fraud involving CDOs. The Wall Street Journal, New York Times, Washington Post, and Financial Times all have good stories, to take the papers from my front lawn. One of those stories...
We caught up with a variety of lawyers and legal academics on the Goldman/SEC. The consensus seems to be that neither Goldman nor the SEC came away with a total and complete win. But both can go home relatively happy.
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