More Than Goldman Sachs In SEC Gun Sight (Others should be worried, too, and they know who they are)

Forbes ^ | 04/17/2010 | Robert Lenzner

[SeekAndFind]

The chickens may have come home to roost for Goldman Sachs and perhaps for a host of other purveyors of rotten mortgage-backed securities that were fobbed off on unsuspecting investors.

The Securities and Exchange Commission's enforcement chief revealed Friday that his investigators were looking at "other products and practices" on Wall Street that might also lead to eventual fraud charges for others. In the meantime, be aware that the government is seeking the disgorgement of illegal profits Goldman Sachs ( GS - news - people ) obtained as a "result of fraudulent misconduct."

Last but not least, the U.S. Attorney in New York, had "no comment' when asked if the Justice Department had in the works a criminal investigation of this civil fraud action by the SEC. In the present climate of anger toward Wall Street you can probably count on a criminal investigation. Justice recently divulged it was looking into accusations that Lehman Bros. hid massive debts from investors just before it went bankrupt.

Truthfully, any indictment is unlikely as it would threaten Goldman's charter as a dealer of Treasury securities and throw the financial community back into panic.

Goldman is adamantly protesting its innocence, as it did in a Bloomberg Business Week cover story recently and in Lloyd Blankfein's letter to shareholders as chairman. Goldman apparently did not wish to settle this matter even though it only received a fee of $15 million for issuing the securities in 2007.

Let's go to the videotape. Where Goldman is most at fault is in not informing its innocent investors in mortgage-backed securities that a masterful hedge fund operator, John Paulson, played a key role in choosing the soon-to-evaporate-in-value mortgages. Nor did Goldman reveal in its documents Paulson was making massive short bets on housing prices against buyers of the securities.

[K-oneTexas]

With “friends” like Obama, who needs enemies? - see http://canadafreepress.com/index.php/article/22067

[VRWC For Truth]

"Unsuspecting investors"

ROFL, these people should have known better, their GREED, was their downfall, not Wall St. They are no better than WELFARE RECIPIENTS.

[Attention Surplus Disorder]

For the more “Sesame Street” explanation of the Goldman/Paulson deal, Dylan Ratigan had a segment on PMSNBC that runs it down pretty well. I must say, I am shocked to see this on semi-mainstream TV.

http://www.youtube.com/watch?v=MMSa1WYUFJc&feature=player_embedded

{part 1 of 2]

[mlocher]

Others, with experience in how the market acts in alleged scandals, say, "Next week, I'm going to back my truck up and start loading up on Goldman Sachs stock."

The SEC knows this too. GS will not be hurt. This is strong evidence that what is happening now is a political PR stunt.

[SeekAndFind]

This is strong evidence that what is happening now is a political PR stunt.

If this is so, who is benefiting from the stunt and how ?

[OafOfOffice]

Since most of Obama’s stock portfolio is Goldman Sachs, they will not go down. Bet on that.

[SeekAndFind]

RE: Since most of Obama’s stock portfolio is Goldman Sachs, they will not go down. Bet on that.

Did Obummer disclose this somewhere ? How do you know that ?

[Steely Tom]

There’s a local investment “guru” on Saturday morning radio here in Syracuse NY who gave a pretty precise explanation of what happened.

He predicts that the government won’t do anything to Goldman. He says that they will set up for a trial, there’ll be a big to-do about how GS is going to get creamed by a jury, and then, at the last minute, they’ll settle with the SEC for between $1B and $2B, it’ll be “hailed as the biggest fine against a financial giant since last Tuesday,” and life will go on.

He also said that, for GS, paying a $1.5B fine is like for an ordinary person to go without an extra cup of coffee at lunch.

[Vaduz]

Did Soros get dinged on the deal?.

[mlocher]

If this is so, who is benefiting from the stunt and how?

Obama and the dems want to get the financial reform bill passed. (I will not get into the disgusting merits of the bill here). The dems know that America does not trust its leaders, but they also know that many Americans do not trust Wall Street. They are getting the GS story out NOW to gin up America agains GS, and use it as propaganda to get more of America behind the financial reform bill.

[OafOfOffice]

I have it in my posts somewhere. Hold on.

[givemELL]

They are establilshing precedent for CIVIL fraud thru Goldman so that the potential thousands of suits and charges in the future involving others will also be civil fraud. No one will go to jail....”Too Big to Fail means Too Big for Jail”.

[OafOfOffice]

There is more, but here is one post. We all found this information researching Obama’s scam for swine flu vaccine he also was invested in.

Barack Obama has shares in Baxter

Friday, November 27, 2009 5:54:43 PM · 56 of 56

Just thought I would add this information here. It goes along with Obama’s shares in Goldman sachs. Geithner’s buddies and Paulson former CEO of Goldman sachs who ran to Bush and said immediate funds needed to bailout banks.

Obama buys shares in Goldman sachs in years prior. Then he gets into office,hires Geithner who proceeds to rape taxpayers and hand billions to Goldman Sachs with no ties.

Ratigan on Goldman Sachs: “Legalized Theft” with a little help from Paulson, Geithner and Obama

http://www.wealthdaily.com/articles/ratigan-on-goldman-sachs-legalized-theft/2136

The Goldman Sachs Oligarchy The nexus between power and money. Taxpayers bailed out Corleone mafia.

http://www.wealthdaily.com/articles/the-goldman-sachs-oligarchy/1899

[OafOfOffice]

Obama 2005 financial filings.

http://www.washingtonpost.com/wp-srv/politics/congress/fin_dis/2005/o000167.pdf

stocks;
AVI biopharma
Sky Terra

mutual fund;
Vanguard

http://www.washingtonpost.com/wp-srv/politics/congress/fin_dis/2006/o000167.pdf
Obama 2006 financial filings;

STOCKS
Purchase GOLDMAN SACHS

Mutual funds,
Vanguard
Nuveen
Marshall prime money
PIMCO

http://www.washingtonpost.com/wp-srv/politics/congress/fin_dis/2007/o000167.pdf
2007 FINANCIAL FILINGS

Pretty much the same as 2006.

[OafOfOffice]

Goldman sachs and obama has a couple of Vanguard accounts.

http://www.abovetopsecret.com/forum/thread482681/pg1

Top Shareholders of Baxter International Inc

As we all know by now, Baxter International is the maker of Tamiflu, the so-called vaccine against AHN1 Virus otherwise know as Swine flu.

Here is a list of the major stock holders of Baxter (Company, Shares):
Barclays Global Investors UK Holdings Ltd 29,957,962
STATE STREET CORPORATION 24,740,249
FMR LLC 21,991,429 3
VANGUARD GROUP, INC. (THE) 20,649,171
AXA 19,281,506
GOLDMAN SACHS GROUP INC 15,187,865
JANUS CAPITAL MANAGEMENT, LLC 14,979,783
JENNISON ASSOCIATES LLC 14,504,345
PRICE (T.ROWE) ASSOCIATES INC 13,792,483
STATE FARM MUTUAL AUTOMOBILE INSURANCE CO 12,975,694

An investigation into these companies reveal a tale of corruption, crime and swindles:

Janus Capital Management has been implicated in market swindles before:

The Securities and Exchange Commission has accused three former executives of Janus Capital Management of improperly allowing market-timing trades in the company’s mutual funds. SEC documents released Monday said the agency is seeking unspecified fines and sanctions against Warren Lammert, Lars Soderberg and Lance Newcomb for allegedly allowing rapid trading in Janus funds despite company rules that discouraged it. All three have left the company.

Janus Controversy

Goldman Sachs is in bed with the US government:

In July 2009, Rolling Stone contributer Matt Taibbi published an article on Goldman Sachs titled, ‘The Great American Bubble Machine’, where he condemns the company as “a great vampire squid wrapped around the face of humanity, relentlessly jamming its blood funnel into anything that smells like money,” and going on to assert that Goldman Sachs and similar companies have come out ahead in every economic recession and bubble since The Great Depression. The piece generated much media attention and controversy, evoking a response by a Goldman Sachs spokesman describing it as “an hysterical compilation of conspiracy theories”. He added, “we reject the assertion that we are inflators of bubbles and profiteers in busts, and we are painfully conscious of the importance in being a force for good.” Taibbi rebutted, “Goldman has its alumni pushing its views from the pulpit of the U.S. Treasury, the NYSE, the World Bank, and numerous other important posts; it also has former players fronting major TV shows. They have the ear of the president if they want it.”

[M Kehoe]

Good post.

How much TARP money did Goldman get?

5.56mm

[Soul of the South]

“The SEC knows this too. GS will not be hurt. This is strong evidence that what is happening now is a political PR stunt.”

True. If this were serious it would be a criminal case, not a civil case. This is a good old fashioned shakedown to send Wall Street a lesson about where to send its campaign contributions this year. Goldman will pay a few hundred million in fines to the Treasury in an out of court settlement and will up its payments to the DNC and Democrat candidates. Other Wall Street banks will fall in line.

[OafOfOffice]

http://www.usatoday.com/money/economy/2009-04-14-tarp-repay-bank-bailout_N.htm

Goldman Sachs takes $12B Bailout, Hands out $14B Bonuses

I am not sure this is all they received.

[captbarney]

Exactly. Only a means of fining/ collecting money from the firms. No ones going to jail