Bad news for Goldman
As the Securities and Exchange Commission continues to investigate the subprime mortgage crash, Goldman Sachs is listed as their latest target (source: AG Industry News).
The Wall Street Journal reports that the SEC is bringing fraud charges against Goldman Sachs.
According to WSJ, “The Securities and Exchange Commission charged Goldman Sachs Group Inc. and one of its vice presidents for defrauding investors by misstating and omitting key facts about a financial product tied to subprime mortgages.
According to the SEC, Goldman Sachs failed to disclose to investors vital information about the CDO, in particular the role that a major hedge fund played in the portfolio selection process and the fact that the hedge fund had taken a short position against the CDO.” via WSJ.
Get the latest real estate news headlines here.
News headlines from around the web hourly.
Photo courtesy of Flickr, CC Licensed.