Stalin
Well-Known Member
- Joined
- Apr 4, 2008
- Messages
- 1,824
Greetings to my fraternal comrades working tirelessly to overthrow the one-party rule of the Obama-Romney clique.
"..On August 9, the US Justice Department announced it was ending a criminal investigation into allegations that Goldman Sachs committed securities fraud in its underwriting and marketing of mortgage-backed securities in the months leading up to the Wall Street crash of September 2008. The department said it would not file charges against the bank or any of its employees.
As a special favor to Goldman, the Obama administration’s Justice Department took the unusual step of making a public announcement that it had cleared the bank of wrongdoing.
The allegations stemmed from a detailed, 640-page report on the financial crisis issued in April of 2011 by the Senate Permanent Subcommittee on Investigations. The report, based on a two-year investigation and 56 million pages of evidence, documented rampant fraud and criminality by major banks and the complicity of credit rating firms and federal bank regulators. In releasing the report, the chairman of the committee, Senator Carl Levin, said the panel’s two-year probe had uncovered “a snake pit rife with greed, conflicts of interest and wrongdoing.”
The largest section of the report by far, comprising 240 pages, was devoted to a scrupulously documented account—citing internal emails, memoranda, prospectuses and interviews—of how Goldman Sachs, beginning in December 2006, offloaded billions in toxic sub-prime mortgage holdings to investors by packaging them into complex mortgage-backed securities and collateralized debt obligations (CDOs). Goldman sold the investments while concealing the source of the mortgages, the fact that they were losing value, and Goldman’s belief that they would decline further.
As the report substantiated, Goldman further defrauded its clients by betting for its own profit that the securities it was recommending would collapse, without telling its customers that it was doing so.
The committee referred its findings to the Justice Department, making clear it believed criminal prosecutions were warranted. It also suggested that Goldman CEO Lloyd Blankfein, who testified before the panel in April 2010 and flatly denied taking a net “short” position on mortgage-backed securities or amassing profits by defrauding clients, be prosecuted for perjury.
Last Thursday, the same day that the Justice Department gave Goldman a free pass, the bank reported that the Securities and Exchange Commission (SEC) had concluded its own civil investigation into a $1.3 billion sub-prime mortgage deal dating from 2006 and decided to take no action.
more at http://www.wsws.org/articles/2012/aug2012/pers-a15.shtml
Comrade Stalin
"..On August 9, the US Justice Department announced it was ending a criminal investigation into allegations that Goldman Sachs committed securities fraud in its underwriting and marketing of mortgage-backed securities in the months leading up to the Wall Street crash of September 2008. The department said it would not file charges against the bank or any of its employees.
As a special favor to Goldman, the Obama administration’s Justice Department took the unusual step of making a public announcement that it had cleared the bank of wrongdoing.
The allegations stemmed from a detailed, 640-page report on the financial crisis issued in April of 2011 by the Senate Permanent Subcommittee on Investigations. The report, based on a two-year investigation and 56 million pages of evidence, documented rampant fraud and criminality by major banks and the complicity of credit rating firms and federal bank regulators. In releasing the report, the chairman of the committee, Senator Carl Levin, said the panel’s two-year probe had uncovered “a snake pit rife with greed, conflicts of interest and wrongdoing.”
The largest section of the report by far, comprising 240 pages, was devoted to a scrupulously documented account—citing internal emails, memoranda, prospectuses and interviews—of how Goldman Sachs, beginning in December 2006, offloaded billions in toxic sub-prime mortgage holdings to investors by packaging them into complex mortgage-backed securities and collateralized debt obligations (CDOs). Goldman sold the investments while concealing the source of the mortgages, the fact that they were losing value, and Goldman’s belief that they would decline further.
As the report substantiated, Goldman further defrauded its clients by betting for its own profit that the securities it was recommending would collapse, without telling its customers that it was doing so.
The committee referred its findings to the Justice Department, making clear it believed criminal prosecutions were warranted. It also suggested that Goldman CEO Lloyd Blankfein, who testified before the panel in April 2010 and flatly denied taking a net “short” position on mortgage-backed securities or amassing profits by defrauding clients, be prosecuted for perjury.
Last Thursday, the same day that the Justice Department gave Goldman a free pass, the bank reported that the Securities and Exchange Commission (SEC) had concluded its own civil investigation into a $1.3 billion sub-prime mortgage deal dating from 2006 and decided to take no action.
more at http://www.wsws.org/articles/2012/aug2012/pers-a15.shtml
Comrade Stalin
