Goldman charged with defrauding clients...anybody surprised?

[Narmer]

http://www.washingtonexaminer.com/o...r-Obama-in-Wall-Street-_reform_-90957879.html

LOL

Watch my left hand so you can't see what my right hand is doing.

This should help everyone except the scammers on and off Wall Street, not just GS.

 

[Pliablemoose]

Big whoop, GS has a 60 billion cash reserve, the liability on this is around 2 billion, if found guilty, and they will be found guilty, their damage is pretty minimal.

We will see a few prosecutions like this, since taxpayers want a scapegoat, even though many of them themselves are just as guilty as the folk being prosecuted. I know a hell of a lot of folks that lied to get the mortgages they couldn't afford in the first place, they knew they were scamming the system...

 

[halik]

Interesting...

Did Goldman have any direct or indirect short positions? Or did they just do this to accommodate a client and make the fee?

The complaint doesn't mention Goldman taking positions on the portfolio, only that they essentially tried to kill 2 birds with one stone (that effectively fucked the investors). They had hard time selling the equity tranches of the instrument, so they wanted to use someone's name to brand it better ("look so and so picked the best pools"). On the flip side they were looking for stuff that Paulson could go short on... so combining the 2 seemed like a great idea.

 

[Hacp]

Big whoop, GS has a 60 billion cash reserve, the liability on this is around 2 billion, if found guilty, and they will be found guilty, their damage is pretty minimal.

We will see a few prosecutions like this, since taxpayers want a scapegoat, even though many of them themselves are just as guilty as the folk being prosecuted. I know a hell of a lot of folks that lied to get the mortgages they couldn't afford in the first place, they knew they were scamming the system...

They've been stealing from the taxpayers through the fed too. Its just too much philandering by this politician favored entity. Both Republicans and Democrats are collecting paystubs from them. No more taxpayer money should be given to big investment banks. They can support themselves and pay for their own mistakes.

 

[hal2kilo]

Maybe some of you apologists for the out of control banking industry should watch this.


http://www.moneytalksnews.com/2009/02/27/cnbc-house-of-cards-documentary/

 

[Patranus]

Not really sure why there needs to be MORE laws when it looks like just enforcing existing law would do the trick.

 

[hal2kilo]

Not really sure why there needs to be MORE laws when it looks like just enforcing existing law would do the trick.

Yea, too bad the Bush Administration was philiosophically opposed to enforcing any regulation. The SEC was a cheer leader for Wall Street as opposed to keeping an eye on the store. I will admit in the case of Wall Street as opposed to environmental or labor laws the Democoporatists were no better.

Now for the chime in.... Bu Bu