Archived

This topic is now archived and is closed to further replies.

Feds Open Criminal Probe of Goldman

24 posts in this topic

Posted · Report post

http://finance.yahoo.com/news/Feds-open-criminal-probe-of-apf-3122488206.html?x=0&sec=topStories&pos=2&asset=&ccode=

WASHINGTON (AP) -- Stepping up the pressure on Goldman Sachs two days after its executives were grilled and publicly rebuked by lawmakers, the Justice Department has opened a criminal investigation of the Wall Street powerhouse over mortgage securities deals it arranged.

The criminal inquiry follows civil fraud charges filed by the government against Goldman two weeks ago and as Congress pushes toward enacting sweeping legislation aimed at preventing another near-meltdown of the financial system.

The investigation by the U.S. attorney's office in Manhattan stems from a criminal referral by the Securities and Exchange Commission, a knowledgeable person said Thursday. The person spoke on condition of anonymity because the inquiry is in a preliminary phase.

The SEC brought civil fraud charges against Goldman and a trader in connection with the transactions in 2006 and 2007. The agency alleged the firm misled investors by failing to tell them the subprime mortgage securities had been chosen with help from a Goldman hedge fund client, Paulson & Co., that was betting the investments would fail. Goldman and the trader, Fabrice Tourre, have denied wrongdoing and said they will contest the allegations in court.

So let me ask sort of a dumb question. If the actions of firms like Goldman Sachs were already illegal, why is it so necessary for congress to ram through new wall street regulations to "prevent it from happening again"?

:lurk5:

Share this post


Link to post
Share on other sites

Posted · Report post

Maybe because the old system OBVIOUSLY did not work?

Share this post


Link to post
Share on other sites

Posted · Report post

Truly, you have a dizzying intellect.

Share this post


Link to post
Share on other sites

Posted · Report post

CWG you have become so assimilated into the propaganda machine that your posts literally have no meaning anymore.

CWG post generator

Share this post


Link to post
Share on other sites

Posted · Report post

Oh so it did work and I am just being fooled?

Share this post


Link to post
Share on other sites

Posted · Report post

you could try answering the question.

Like I said, the phrase "the system didn't work" means nothing. There is no "system". If there were, how would one guage whether it "works".

The original point was that the actions of those blamed for the financial crisis were already illegal. So what, then, is the point of redundant laws? Public satisfaction? Goverment power? What?

If it was found that Goldman Sachs murdered 85 people, would it make sense for the government to re-write the laws about murder because the "system doesn't work"?

:lurk5:

1 person likes this

Share this post


Link to post
Share on other sites

Posted · Report post

*waits for another cliche*

*hopes for a bird in the hand is worth two in the bush*

1 person likes this

Share this post


Link to post
Share on other sites

Posted · Report post

They better back off if they want the contributions to keep flowing next election cycle.

Share this post


Link to post
Share on other sites

Posted · Report post

The Finance Reform is NOT all about Goldman Sachs. By the way there was a system in charge. A world-wide economy is not autonomous and has always had some kind of federal oversight groups. The fact is the Bush Administration felt loosening the reigns and allowing more freedom would result in "trickle-down" economics. Here is a cliche for ya! Trickle down economics is the equivalent of Wall Street pissing down the backs of the working man and telling him it is raining.

Share this post


Link to post
Share on other sites

Posted · Report post

Because free trade involves unwilling exchanges.

Share this post


Link to post
Share on other sites

Posted · Report post

I wonder how many people work in the Obama Administration, worked for G&S? And you want to be my big government salesman..

Share this post


Link to post
Share on other sites