SEC vs Goldman Sachs

I have talked about corporate greed on many occasions including Goldman Sachs. Aren't we all sick to death of Goldman right about now? We bailed out financial institutions at the tune of $200 billion, with $10 billion going to Goldman Sachs. It was reported that they paid back the government last year.

What was the motivation to pay us back so quickly? Was it to continue its egregious acts of fraud and its goal of huge profits derived from deception without the government looking down their shoulder? The SEC has finally stepped in and Goldman says, "The SEC’s charges are completely unfounded in law and fact.” Their stock fell 13% on Friday and again, shareholders were left holding the bag. Goldman denies that it put its own greedy interests before its investors.

The latest scandal has to do with, what else, mortgage securities. Goldman allowed Paulson & Co., a Hedge Fund, to design CDO’s, Collateralized Debt Obligation. It is reported that this is an investment designed for failure of risky mortgage assets. Paulson then bet against it and he personally walked away with nearly $4 billion(his firm making $15 billion) while Goldman touted the investments to investors, making commissions. Goldman has been working with Paulson since 1994 and has a cozy relationship.

I don’t know what the answer is in this country but bailouts are not helping anyone but the crooks that receive the money. Not one company on Wall Street is afraid of the SEC. And no one believes Goldman Sachs.

Those who participated in the collapse of our economy were the regulators that did not do their jobs, investors who believed, those who took out mortgages who knowingly could not afford a shack, lending institutions that gave mortgages to people who could not afford a pot to pee in, credit agencies and all those who made a commission based on the biggest fraud against the American people.

The Gold standard on Wall Street--Goldman Sachs--is "fools gold" except for its top management.