BREAKING: Goldman Sachs charged with fraud by SEC

[jpljr77]

This is just a blurb all over financial and business sites right now, but their stock is tanking on the news.

The Wall Street Journal banner blurb: SEC charges Goldman Sachs with civil fraud in structuring and marketing of CDOs tied to subprime mortgages.

I can't believe the gov't might actually hold people accountable. I'm shocked.

[Clio the Leo]

1. More here...

http://www.sec.gov/news/press/2010/2010-59.htm

[jpljr77]

5. Thanks. Per the complaint, they're also going after a specific person.

Here's the formal complaint: http://www.sec.gov/litigation/complaints/2010/comp-pr2010-59.pdf

He's 31, so I feel kinda bad for him, since he's most likely being scapegoated and/or simply thrown to the wolves.

The SEC is also seeking monetary penalties on both Goldman Sachs and the guy, but they don't specify a $ amount.

[havocmom]

16. OK to feel a LITTLE bad for him....

But, it seems likely he let his ego/ambition/greed over-ride any native intelligence he may posses, so he may have brought about his own demise.

As for scapegoat, oh, that seems very likely. Other young execs should learn a lesson. AND one has to wonder if the squeeze on him, personally, is a tactic to get him to turn on the big boys and cooperate with investigators looking to fry bigger fish.

One hopes.

[Hannah Bell]

43. one guy only? shoot.

[girl gone mad]

51. And a weak case, at that.

This is Kabuki theater, imo.

[liberation]

59. Yup...

... but that won't stop some people from pretending that a few crumbs are really the whole enchilada.

A big portion of Wallstreet should be literally frogmarched, but it seems there is going to be a couple scape goats and a show trial. GS is so embedded that I assume the SEC had to clear it up with them before releasing this presser.

Alas, the only justice we are ever likely to get in this country, regarding the rich and powerful, is of the show trial kind. Also, notice that no where in the mighty financial "reform" proposed by the Dems there is even a slight mention to a return to the Glass act. Or actual limits on financial footprints.

Oh, well... c'est la vie.

[phasma ex machina]

71. Did Goldman Short Itself, Reuters Reports Goldman Was Told In Advance It Faced SEC Action

Did Goldman Short Itself, Reuters Reports Goldman Was Told In Advance It Faced SEC Action

Time for the SEC to take a look at what bets Goldman's prop desk, and material affiliates as well as hedge funds that are close to Goldman's flow traders, were taking on Goldman's stock over the past few days. If indeed Goldman shorted itself, bought SPY puts, bought octuple leveraged negative financial ETFs, or something else of the sort, on material non-public information, it would be time to shut the firm down.

[dotymed]

114. Fun with Dick and Jane

fuck this apocryphal! Prosecute the billionaires that pull the levers. Raise the graduated income tax back to (at least) 1950's levels. FDR taxed them at 90% in the 30's....

[Major Hogwash]

76. It's a stronger case than what they had when they went after Martha Stewart.

And she did time for what she did.
We're talking about billions of dollars here, not a measly 100 grand.

[girl gone mad]

79. This is a civil case, not a criminal case.

No one will be doing time.

[earcandle]

97. Why is this NOT a criminal case?

[girl gone mad]

99. The SEC doesn't have criminal authority.

Plus, this line of attack looks sketchy and I'm not sure it would meet the higher burden of proof that is required in criminal charges. If the DOJ is planning on taking any action, they'll probably wait and see how the civil trial goes. If the SEC can pull it off, then maybe we'll see an indictment. I would be shocked. Goldman will spend more on lawyers than you or I will ever see in ten lifetimes.

[Major Hogwash]

116. Yet!

Wait for the 2nd shoe to drop.

[dotymed]

113. What about the large contingent

of Goldman ex-employees (recently ex),that make up a disproportionate number of our governments cabinet? These guys were neck deep in this shit. Geithner, Summers and the rest of them. How fucking warped. Make these thieves resign and admit to the American people the schemes and how to permanently stop them.

[oldlib]

106. Goldman Sachs is a person.

By the definition today.

[vssmith]

112. Yes! a person of interest

[dotymed]

115. Man, if we don't stop

that SCOTUS neo-con "decision" from going into effect, we can all drop the pretense...it will be a "legally" bought and paid for government. Impeach the Supreme 5 or legally change the definition of our governing system in America.

[Kber]

2. some more detail and background

http://www.nytimes.com/2010/04/17/business/17goldman.html

Goldman Sachs, which emerged relatively unscathed from the financial crisis, was accused of securities fraud in a civil suit filed Friday by the Securities and Exchange Commission, which claims the bank created and sold a mortgage investment that was secretly devised to fail.

The move marks the first time that regulators have taken action against a Wall Street deal that helped investors capitalize on the collapse of the housing market. Goldman itself profited by betting against the very mortgage investments that it sold to its customers.

The suit also named Fabrice Tourre, a vice president at Goldman who helped create and sell the investment.

The instrument in the S.E.C. case, called Abacus 2007-AC1, was one of 25 deals that Goldman created so the bank and select clients could bet against the housing market. Those deals, which were the subject of an article in The New York Times in December, initially protected Goldman from losses when the mortgage market disintegrated and later yielded profits for the bank.

As the Abacus deals plunged in value, Goldman and certain hedge funds made money on their negative bets, while the Goldman clients who bought the $10.9 billion in investments lost billions of dollars.

more at link

[Uncle Joe]

23. This sentence needs to be bolded for the sheer dysfunctional corruption of the system.

"The move marks the first time that regulators have taken action against a Wall Street deal that helped investors capitalize on the collapse of the housing market. Goldman itself profited by betting against the very mortgage investments that it sold to its customers."

Why are put options even legal, what is the logical basis for their existence?

[Cali_Democrat]

29. I don't think there is anything wrong with put options when used correctly

One of the main reasons they were created was to hedge portfolio, securities risk. So your invested in the market but you buy put protection to protect your assets from downward price action.

Example...you own a stock at $70 and still think it's going up, but you want to protect yourself from risk so you buy put protection for 75 cents (per share) at $65 strike price. IF the stock falls below $65, your protected.

This can be abused though if people have no underlying interest in the security and buy massive amounts of puts in order to make loads of cash off downward price action.

[Uncle Joe]

34. Well if not put options then "naked put options" should be illegal.

If someone wants to buy a stock for less than value, they should wait for it to go down or just buy another stock.

[Cali_Democrat]

35. I agree...if someone buys puts, they should at least have an interest in the asset going up

They should at least own the underlying asset and use puts for protection.

That can and should be regulated.

[ipfilter]

62. That's not how naked puts work.

Selling puts naked is a bet that a stock price will rise and the put seller gets to keep the premium collected when the options expire worthless.

[Uncle Joe]

67. My post referred to buying puts not selling them, but allowing for naked puts is too risky.

How did Goldman Sachs bet against those underlying mortgages which they sold?

I imagine they bought put options and how many of the owners selling those put options actually had an interest in those wrapped mortgages?

I would be willing to bet a small percent and as a result the loss was greatly magnified.

[Enthusiast]

73. This "stuff" was going on industry wide.

If given an opening they will continue to pull this semi-legal fraud.

[quakerboy]

111. Isnt that risk part and parcel of a market?

You invest money. Your investment can prosper, stay the same, or decrease in value. Isn't that the whole point of having a market?

[Cali_Democrat]

122. Risk is part of the market, but minimizing risk is very important.

Why take the chance on a crash when you can hedge your investments? I fail to see how using put options to minimize risk is a bad thing.

When used for hedging, the buyer of the put option still has an interest in the asset going up and so does the put seller.

Now...buying a lot of put options for the sole purpose of hoping a stock or asset tanks is another story. The buyer would really benefit from the crash chaos in that case.

[laughingliberal]

63. And isn't this exactly the charge they were denying recently

when they objected to being called 'a vampire squid on the face of humanity sticking its blood funnel into anything that smells like money?'

[Enthusiast]

74. They said they will fight

these charges and are denying ANY wrong doing.

[laughingliberal]

80. Right. And we all fell off the turnip truck last night. nt

[Sebastian Doyle]

81. Put options should have been eliminated after somebody profited from 9/11

by purchasing put options on United & American airlines.

And of course, the names of who purchased those options were never made public. I'm sure Chimp and Darth made sure that info was classified for "national security reasons" (just like all the records of what Chimp's dad has been up to since he joined the CIA in the 1950s)

[rfranklin]

3. Gee, that must have required a lot or hours of investigation...

I want to see a perp walk!

[Fire1]

6. Better late than NEVER!!! n/t

[Fire1]

4. OUT FUCKIN STANDING!!!!!!!!!!!!!! THANK YOU!!!!!

:bounce: :bounce: :woohoo: :woohoo: :applause: :applause:

[NYC_SKP]

41. lol.

Yes, INDEED!

:bounce: :bounce: :woohoo: :woohoo: :applause: :applause:

[SOS]

7. Good news!

Apparently someone at the SEC reads Vanity Fair.

[political_Dem]

8. Wonders never cease. I am floored that those suckers might have to be held accountable. eom

:party: :toast:

[depakid]

32. Goldman was essentially self dealing- and a lot of "important" investors lost big money

Hopefully, this is not simply a one off- and that there'll be many more to follow before the statutes run.

[dixiegrrrrl]

9. My god....to even charge them is a huge step.

:wow: :wow:

[Tailormyst]

10. Whoa- I never thought it would happen

[Xipe Totec]

11. SNL Weekend Update: Really Goldman Sachs?

http://www.broadcastingcable.com/video/TV_CLIPS/3439-SNL_Weekend_Update_Really_Goldman_Sachs_.php

[HCE SuiGeneris]

12. Take 'em down. The srutiny is long overdue.

Dare we get our hopes up that justice may make an appearance?

[Subdivisions]

13. Well it's about goddamned time. n/t

[nc4bo]

14. Recommend!!!! nt

[FirstLight]

15. YES!

My exuberance got the best of me, before I even read the articles all the way through...I am stoked to think that we may just see some REAL accountability with these bastards.
I want them ALL rounded up and their bonuses taken back and given to the poor!

[kentuck]

17. I always thought it was very shady the way they transferred their holdings...

to protection under the FDIC. They were successful in getting taxpayers to guarantee all their ill-gotten gains or losses.

[Submariner]

18. CRASH Goldman Sachs stocks and put them out of business

Down 10% so far. Send them all to prison.

[Beetwasher]

19. This Is FUCKING HUGE, GIGANTIC-Don't Discount The TIMING (Financial Reform Anyone?)

:wow:

Cool.

[girl gone mad]

52. Not HUGE or GIGANTIC..

It's just a minor civil suit against one guy at Goldman over an allegation that will be very difficult to even argue, particularly the way the SEC has chosen to go about it.

[Beetwasher]

57. Sure It Is

This is big news and a great bludgeon just as the debate on Financial regulation is heating up.

You have no idea what the details of the case are or where it will lead or the "way the SEC has chosen to go about it". What way is that? You have no fucking clue.

[liberation]

60. So I take you do have an actual clue. Please enlighten us...

So far not impressed with your "clue" if you think an ad hominem is somehow equivalent to a good counter argument or proof.

But it is Friday, and I am in a good spirit, so there... I'll give you the benefit of the doubt. And before you try any more "funny business" be warned that some of us have read the actual SEC notice, and can cope with complexity.

Good luck..

[Beetwasher]

64. LOL! Umm, What Part Of The Political Implications Escape You?

This is big and it's coming just as the debate about financial regulation is starting.

I guess those sorts of things are irrelevant to you. That's your problem.

Me, I see the bigger picture.

I guess little minds only see the little picture.

The case hasn't even started yet, but you think you know all the details? You know how it will end up? Who else might be implicated? All the evidence? Oh mighty Nostradumbass, knower of the complexities, please, enlighten us lowly peons with your superior wisdom about the future. :rofl:

Reid Hits GOP With Goldman Charges
Harry Reid goes there, tying the SEC charges against Goldman to GOP obstructionism of financial regulatory reform:

http://theplumline.whorunsgov.com/senate-republicans/reid-hits-gop-with-goldman-charges/

[liberation]

68. LOL. So what you were trying to say is that "no, you can not answer the question."

No need to waste bandwidth like that. When a simple one-sentence should have sufficed.

For a person with such a gift for clairvoyance and seeing the "bigger picture," you seem unable to answer a simple straight forward question from a lowly peon. As I said, not very impressed with your intellectual "might."

LOL

[Beetwasher]

83. Stupid Questions Deserve Only Mocking

I was discussing the political implications. If u want to piss and moan that's yr perogative and it's mine to mock u for it.

[liberation]

88. Again, you don't have an answer do you? It was a simple request for facts.

I asked you for facts, on how a small civil suit is somehow anything more than that. Not how far your eyes can see.

Your contrived tangential BS arguments are as desperate and sad as they are telling.

[Beetwasher]

90. No You Want To Change The subject

I posted about the political implications. I don't have to take yr bullshit bait.

[liberation]

92. LOL... you understand this is a public forum and everyone can see the posts, right?

In any case, you did not answer a single question and I was politely enough giving you the benefit of the doubt. Only to be met with your condescending insulting bullying.

So I bid ye farewell, little one. I know you guys get paid by the post, but I am bored with your silly antics...

[Beetwasher]

93. See My First Post? U Know The One About The Timing?

And clearly discussing the political implications? Why the fuck should I indulge yr idiotic strawmen when it has nothing to do with what I was talking about?

Run away now! :rofl:

[liberation]

94. I see your flippers are tired, and you look scared. I shall name you Banjo!

King of the DLC Sea Monkeys!

LOL, you are sad. Do you even know what a strawman argument is, you magnificent tool?

As I said, I know you get paid by the post. So farewell, I think I just gave you two extra points or something... keep at it, I assume other people can provide you with the attention you so clearly crave.

Funny some of you seem to be of the opinion that a simple request for factual backup to be something so threatening. Rather telling...

[Beetwasher]

95. Yr Strawman Bullshit Is Irrelevant To My Post About The Politics

Now run away like a good coward.

[girl gone mad]

82. Smoke and mirrors is all it is.

Frankly, I have no idea why the SEC chose to pursue this case by applying traditional securities standards to the complex derivatives trades of Paulson and a Goldman underling, but the SEC lawyers are going to have a very difficult time of it. My cynical, but experienced gut tells me that this was by design. Similar suits against BAC and other large banks have resulted in mere slaps on the wrist. In the case of BAC, the slap was so weak and pathetic that a Federal judge refused to let the settlement stand.

As we've discussed on another thread, the financial reform bill has already been watered down to the point of ineffectiveness so any momentum in the direction of reform caused by this hyped-up PR stunt will simply be for show, at best.

Republicans will look dumb, but the same result could be had sans the chicanery of a show trial.

Will people buy into the idea that these breadcrumbs are packed with nutritional goodness? I sincerely doubt it. Too many people know too many of the seedy details of Wall Street's big scam. Until we see the real perpetrators in handcuffs and until we get genuine reforms the likes of Glass-Steagall, such dainty moves will met with a heady dose of skepticism.

[Beetwasher]

84. Who Cares What U Think?

Obama could heal lepers and you'd piss and moan cuz he didn't suck their toes first.

[girl gone mad]

87. Let me know when you graduate out of Kindergarten.

Maybe then we can have an actual conversation.

These douchebaggy responses of yours are very telling, though. You have absolutely no argument to match my valid and well-reasoned criticisms of the very weak financial reform bill Dems are pushing and now this fairly lame bread and circuses civil suit from the SEC
.

[Beetwasher]

91. When U Stop Yr Pissing I'll Take U Seriously

Until then yr worthy only of being mocked.

[girl gone mad]

100. I made my case and now you're free to engage in AOL teen-chat babble.

You go ahead and take that low road. I can rest assured that our paths are unlikely to cross again anytime soon. You are an utter waste of time.

[Beetwasher]

101. If Pissing On The Drapes Is A Case

Well yeah, mission accomplished. :rofl:

[shellgame26]

104. +100,000,000

:applause:
You've got these whiners figured out.

[laughingliberal]

109. It would be good to hear some talk about restoring Glass-Steagall.

I like that they are talking about ending TBTF but I really don't know how much punch the law they are talking about has. I know Melissa Bean (New D, IL) got a huge loophole in the House bill where the most important reforms will apply to a very few (like 4 or 5) companies. I'm wondering if that bill could be strengthened in conference?

At any rate, I am glad to see someone moving on GS. It is probably going to be nothing more that a slap on the wrist but my fantasy is it will touch off a wave of moves against them. Far-fetched, I know. But, at my age, all that's left is a few dreams.

[Hippo_Tron]

70. The SEC is an independent agency and doesn't serve at the pleasure of the President

So while the timing is wonderful, it was not coordinated by the White House.

[Beetwasher]

85. Did I Say It Was?

[Hippo_Tron]

86. No you didn't and that's a fair point

But given the way people are talking about the timing I think it's prudent to point out that the SEC is entirely independent from the President and Congress who are the ones pushing financial reform.

[girl gone mad]

89. I think it's safe to assume their was at least some behind the scenes coordination going on..

given the proximity of the announcement to the WH press release on financial reform today. It sure looks as if the administration is making every effort to piggyback their agenda for reform onto this action by the SEC.

[Andy823]

20. Market is down

Just checked the stock market and it's down 100 points since the news, and oil has dropped over $2 a barrel!

Do you think this is scaring the crap out of the rest of the crooks, or are they trying to send a message of how "bad" it would be to do something like this, take one of the giants to court?

[FirstLight]

24. You have a good point...

No doubt the crooks will try to play the market to make people scared ...but I think the outrage at the bastards is going to override the possibility of market problems.

we have lost points in the market before...uh, think about what they caused back in 2008. The American people are still sore over that and would probably take a small 'hit' in order to regulate and bring some justice to the system...
besides, it will eventually bump back up ...maybe even better, sonce the crooks are going to be taken DOWN!

I would like to think this is ONE of MANY filings of charges and prosecutions to come!

:woohoo:

[Andy823]

38. I agree.

I just read an article over on CNN money where some are already saying that this could be a sing of increased "REGULATION" and some on Wall Street are already saying that would be a "BAD" thing! It also said that the reason oil went down was because of what happened today. I agree the market will come back up as it has before, and like you said most americans really want to see some justice and are willing to take a hit in order to see that justice, I know I am! I hope this is just the beginning and there will be more to come! :thumbsup:

[glitch]

69. Removing bad apples and restoring trust would most definately improve the market long term. nt

[laughingliberal]

107. I'm with you on that. We already have predictions it will be 2012 before unemployment gets back down

to 8%. So, they tank the market with their tantrums. At least when it's over and the crooks have been taken down and laws passed to prevent this kind of shit again, we'll know our markets are sound and not built on a cycle of bubbles and busts that keep us on this roller coaster. I think this'll backfire on them. People are pissed. We bailed the crooks out and people still don't have jobs and are still losing their homes. I don't think their fucking blackmail will work this time. What're they gonna do? Threaten to declare martial law? Fuck them.

[The Backlash Cometh]

21. Who knew?

LOL!

[Uncle Joe]

22. Kicked and recommended.

Thanks for the thread, jpljr.

[Change Happens]

25. A great day for America, thank you Mr. President!

[Dinger]

36. Thank geithner and summers too, right?

Well, right??

[fooj]

72. Thank you, Mr. President?

I guess Geithner and Sumners already collected their bonuses. Gotta make sure some unsuspecting little peon takes the fall for the big boys, eh?

Be certain the martinis and cash are flowing as they sit on their yachts laughing their asses off at us all. Don't bother calling me a cynic, either. How many times do these rat bastards have to pull this dog and pony show before we finally grab a clue? Nevermind.

[jpljr77]

26. Goldman Sachs vows to defend themselves

The company just put out a one sentence "response" to the SEC charges:

"The SEC’s charges are completely unfounded in law and fact and we will vigorously contest them and defend the firm and its reputation."

My god, go get those fuckers.

[gristy]

105. I saw that quote in the NY Times article

I was struck by the shameless audacity of the statement.

[progressoid]

27. Well, it's a good thing we bailed them out.

Phew.

[taught_me_patience]

28. Probably mostly huff and puff

Goldman will be slapped with a fine that amounts to petty cash and their executives will not pay back a dime of their ill gotten loot.

[GameChanger]

30. What about Goldman Sachs manipulation of OIL PRICES?

Goldman Sachs has been manipulating the commodities markets for years now. There's been lots of good articles about the how, why and who profits.

We have been paying more at the pump for gas for years because of Goldman Sachs, so why has their manipulation of the oil markets been ignored???


Dubious History Of Goldman Sachs Market Manipulation Repeats Itself As Speculators Spike Gas Prices
Bill Lindner
July 02, 2009

In another case of history repeating itself, the rapidly rising cost of gasoline, misleadingly attributed by some to supply and demand issues, is actually more of the same from last summer when speculators -- led by Goldman Sachs who has an 80-year history of manipulation and speculation -- fraudulently ran up gas prices to more than $4 a gallon, and Goldman Sachs' long-term greed is once again rearing it's ugly head while America's economy lies in ruins due to their previous fraudulent actions.

http://www.americanchronicle.com/articles/view/108382

+++++++++++++

Oil: the Market is the Manipulation
July 26, 2009 - 9:14am

This is a guest post by Chris Cook. Chris is Former Director of the International Petroleum Exchange, and is now a Strategic Market Consultant and commentator.

Clearly manipulation has been going on in the global market in oil – there's nothing new about that – it's what intermediaries who transact for profit do and have always done. Indeed, some market wags say that trading could be defined as “acceptable market manipulation”. But until the last few years what consenting adults were doing among themselves in the oil market didn't really affect the man in the street.

-- snip --

The key player in Goldman Sachs is the current CEO Lloyd Blankfein, who rose to the top through Goldman's commodity trading arm J Aron, and indeed he started his career at J Aron before Goldman Sachs bought J Aron over 25 years ago. With his colleague Gary Cohn, Blankfein oversaw the key energy trading portfolio.

It appears clear that BP and Goldman Sachs have been working collaboratively – at least at a strategic level - for maybe 15 years now. Their trading strategy has evolved over time as the global market has developed and become ever more financialized. Moreover, they have been well placed to steer the development of the key global energy market trading platform, and the legal and regulatory framework within which it operates.

-- snip --

Meanwhile, in 1999, Goldman Sachs managed to convince the US regulators, the CFTC, that they were entitled to the same regulatory “hedge” exemptions as those market participants who were genuinely hedging their physical requirements. This, combined with the collapse of Enron in December 2001, cleared the way for the complete takeover of the global energy marketplace which has followed in trading on (and off) the ICE platform, and prepared the ground for making money out of the growing constituency of financial investors.

http://www.theoildrum.com/node/5606

+++++++++++++++++

Inside The Great American Bubble Machine
Matt Taibbi on how Goldman Sachs has engineered every major market manipulation since the Great Depression
MATT TAIBBI

Posted Jul 02, 2009 8:38 AM

From Matt Taibbi's "The Great American Bubble Machine" in Rolling Stone Issue 1082-83.

The first thing you need to know about Goldman Sachs is that it's everywhere. The world's most powerful investment bank is a great vampire squid wrapped around the face of humanity, relentlessly jamming its blood funnel into anything that smells like money.

Any attempt to construct a narrative around all the former Goldmanites in influential positions quickly becomes an absurd and pointless exercise, like trying to make a list of everything. What you need to know is the big picture: If America is circling the drain, Goldman Sachs has found a way to be that drain — an extremely unfortunate loophole in the system of Western democratic capitalism, which never foresaw that in a society governed passively by free markets and free elections, organized greed always defeats disorganized democracy.

They achieve this using the same playbook over and over again. The formula is relatively simple: Goldman positions itself in the middle of a speculative bubble, selling investments they know are crap. Then they hoover up vast sums from the middle and lower floors of society with the aid of a crippled and corrupt state that allows it to rewrite the rules in exchange for the relative pennies the bank throws at political patronage. Finally, when it all goes bust, leaving millions of ordinary citizens broke and starving, they begin the entire process over again, riding in to rescue us all by lending us back our own money at interest, selling themselves as men above greed, just a bunch of really smart guys keeping the wheels greased. They've been pulling this same stunt over and over since the 1920s —

-- snip --

And what caused the huge spike in oil prices? Take a wild guess. Obviously Goldman had help — there were other players in the physical-commodities market — but the root cause had almost everything to do with the behavior of a few powerful actors determined to turn the once-solid market into a speculative casino. Goldman did it by persuading pension funds and other large institutional investors to invest in oil futures — agreeing to buy oil at a certain price on a fixed date. The push transformed oil from a physical commodity, rigidly subject to supply and demand, into something to bet on, like a stock. Between 2003 and 2008, the amount of speculative money in commodities grew from $13 billion to $317 billion, an increase of 2,300 percent. By 2008, a barrel of oil was traded 27 times, on average, before it was actually delivered and consumed.

http://www.rollingstone.com/politics/story/28816321/inside_the_great_american_bubble_machine/print

+++++++++++++++++

THINK OF THAT EVERY TIME YOU FILL YOUR CAR UP WITH GAS.

[kentuck]

33. Exactly !

Goldman Sachs makes billions of dollars every time gasoline prices spike.

[malaise]

40. Good post

Nice thread.

[gateley]

123. Rolling Stone's site is down until Monday (they're relaunching a New! Improved!

version). I learned that when I went looking for this article, so I'm grateful you posted this excerpt here! :headbang:

[fascisthunter]

31. good!

[JackRiddler]

37. Terrible! If GS goes down, the WORLD IS DESTROYED!!!

[florida08]

39. Just saw this

OUTSTANDING :applause:

[Hannah Bell]

42. good news. i'd love to know the backstory on the decision to prosecute.

[AngryOldDem]

44. WOW.....

Never thought I'd see the day.

[bulloney]

45. GS must have screwed the wrong person and he/she is powerful enough to do something about it.

When the little guy or a bunch of little guys were screwed by GS, you may have well just whistled in the wind.

[femrap]

46. Too bad the CEO

isn't named....just a little VP who is only 31 years old....makes for a nice scapegoat!

[Enthusiast]

77. My sentiments exactly! nt

[femrap]

119. And I got a real chuckle that

the scapegoat is a French 'Fabulous Fab!'

I'm so glad I still have my sense of humor....as black and sick as it is, it keeps me sane in these insane times.

Off topic...but still a financial mind-blower:

http://www.huffingtonpost.com/2010/04/16/regulators-approve-movie-_n_541085.html

[Enthusiast]

121. OMG!

Them sunzabitches simply can't leave anything alone can they.

Insane times is right. Imagine every employer taking out life insurance policies on their employees. Nothing could go wrong with thaaaat. Coal mine operators will be all over it, lol.

[Smashcut]

47. Good. Now it's time for the DOJ to follow up w/ CRIMINAL charges.

[Change Happens]

49. AG Cuomo will follow up with his own fun shortly, I am sure of it!

[Greyhound]

48. Here's hoping. K&R

:toast:

[NJmaverick]

50. You shouldn't be shocked President Obama is in charge

[cbdo2007]

53. GS stock down 13% so far today but it will recover within 2 weeks

Good buying opportunity...

[oasis]

54. MSNBC's Dylan Ratigan just gave a illustration on how these crooks operated.

It was jaw dropping :wow:

[Major Hogwash]

117. His explanation was also easy to follow.

It was jaw dropping, but I think there will be serious reprecussions about it before all is said and done.

[leeroysphitz]

55. This is awesome. I'm getting a little weepy.

[earth mom]

56. Am I the only one cynical enough to think NOTHING will come of this? nt

[laughingliberal]

110. I think a lot of us think that's likely but are hoping we're wrong.

I know the public would love to see some real penalties against the 'vampire squid wrapped around the face of humanity.'

[cachukis]

58. And Mitch McConnell stands where?

[Enthusiast]

78. He's got 41 votes, lmao!

[valerief]

61. Which is SEC is doing this? OUR SEC? Unbelievable! nt

[clr]

65. "I can't believe the gov't might actually hold people accountable."

That damn government needs to stay out of people's business and allow corps to commit fraud! Gov't intervention = BAD!

/sarcasm

I'm anticipating similar comments from the Repubs though.

[abelenkpe]

66. Sweet.

I sent an article about this to my tea partier parents back east. They haven't talked to me since HCR passed.

I've been sending pics of the kids and messages....nothing.

When I sent this tho My mom finally wrote me back. Her response:

"Yes! Finally... This is great news."


So this is Huge! Got that? Two tea partiers are happy about this.....let's hope FOX news doesn't tell them not to be. :)

[Major Hogwash]

75. Finally, good news about Obama going after Wall Street

I thought they were taking too long, but I guess today is just as good as any other.

[Bozita]

96. Gretchen Morgenson, John Coffee, Larry Ingrassia, Roben Farzad discuss GS - Charlie Rose 2nite

Tonight on Charlie Rose:

April 16, 2010

There is a a huge story coming out of wall street today. The SEC has filed a complaint against Goldman Sachs. We talk to Gretchen Morgenson of 'The New York Times,' John Coffee of Columbia Law School, Larry Ingrassia Business ediotr of 'The New York Times' and Roben Farzad of Bloomberg BusinessWeek. Next film director Niels Arden Oplev who has a new movie ‘The Girl with the Dragon Tattoo’ based on the Stieg Larsson blockbuster book.


Be sure to check with your local PBS affiliate to see when Charlie Rose airs in your city.
www.charlierose.com

[Kablooie]

98. So far it's a civil suit. No one will be held responsible. The company just pays a fine.

[laughingliberal]

108. I'm willing to bet there's more that could be found against them.

I hope they keep digging and for every million they spend to defeat financial reform, we find a few more violations and a few more and so on and so on until they agree to be reasonable. TBTF? Too big to live.

[Lucky Luciano]

102. So, when does AIG sue for $20B? nt

[Odin2005]

103. ABOUT FUCKING TIME!!!

[branders seine]

118. The test of this will be whether they really are held accountable.

They'll probably offer up some flunky as a sacrificial lamb. Also, their fraud has netted them hundreds of billions of dollars. How far will this lead? Is it a token slap on the wrist, or the start of actual justice?

[chill_wind]

120. The giant vampire squid will outlive us all. You can be certain of it.

They are connected in Washington to every thing and everybody. To say nothing of their massive lobbying and deep, deep pockets full political campaign cash (cough).

I can't say I won't enjoy the dog and pony show, though, just in time for all the "Wall Street reform" politics.