Posted on 01/23/2010 11:33:07 AM PST by FromLori
One of Congress' premier watchdog panels is investigating Goldman Sachs' role in the subprime mortgage meltdown, including how the firm sold securities backed by risky home loans while it simultaneously bet that those bonds would lose value, people familiar with the inquiry said Friday.
The investigation is part of a broader examination by the Senate Permanent Subcommittee on Investigations into the roots of the economic crisis and whether financial institutions behaved improperly, said the individuals, who insisted upon anonymity because the matter is sensitive.
Disclosure of the investigation comes amid a darkening mood at the White House, in Congress and among the American public over the long-term economic impact of the subprime crisis, prompting demands to hold the culprits accountable.
It marks at least the third federal inquiry touching on Goldman's dealings related to securities backed by risky home mortgages.
(Excerpt) Read more at miamiherald.com ...
ping
cap in trade set up for us before there was cap n trade.. come on they were in on it from the beginning.. this is one of the money pits for the progressives...
IMO...All for show.
Good!
LOL, Goldman Sachs is the consigliere and bank for the democrat party. This ain’t going nowhere.
Completely agree It’s Showtime!
So the filth is investigating the sewer...
Thats a good description!
When I read that line - “Yes it does appear that we did something wrong.” in the testimony of the GS chairman I was amazed. If the congress knew this had happened, before the question was asked, then a positive answere should have resulted in an SEC arrest or at least a charge - within hours of the testimony.
The democrats just want to distract attention from the growing public awareness that it was their policies forcing banks to make loans to unqualified borrowers that was the root cause of our economic collapse.
If you think it is the best buy ever, you keep it yourself.
Duh.
People are now reduced to pretending that it is evil to be smart, and men have a duty to be as stupid as those they trade with.
You know who is responsible for the price paid for any security ever? The buyer who agreed to it. No one else.
But losers whine for a living...
Goldman should be pissing their collective pants about now. Their benefactors, the Democrat Party are horrified the voters may vote them out of office, so they need a bogeyman. Goldman perfectly fits the bill.
On top of the Rats throwing them to the wolves, all those years of getting Al Gore to scare people into believing the earth had a fever are going to waste as well. That beautiful 100% profit moneymaker, cap and trade, appears to be on its deathbed. All that time getting the gov’t to throw Lay and Skilling in jail for beating Goldman Sachs to the punch in having Enron set up a carbon trading market appear to have been a waste of time too.
Oh the humanity, the corrupt fraudsters at Goldman Sachs may actually get what is coming to them courtesy of those they put in power (Obama, Geithner, Bernanke) Kind of a delicious irony to all this I think.
Agreed, but the statement is a non-sequiter because the price paid for the instruments GS put together is not what's at issue.
What happened here is not unlike me selling you a house that my company built, telling you it's a great house, then betting with the neighbors that the roof will collapse within 6 months.
And *why* did the prices go up too high? Bad lending practices fueled by Fannie and Freddie enocouraged lending institutions to make loans at inflated values with no due diligence or proof of repayment required.
The higher the loan = higher the mortgage broker’s fees for bad loans that were encouraged and bought by Fannie and Freddie.
Eventually the scheme collapsed and dragged us into this 20-year depression.
Time to grow up. There are tens of millions of entirely ordinary Americans who are totally responsible for every particle of this mess, and no mistakes in congress or at banks or on Mars can change that. Everybody is trying to point at somebody else, nobody is willing to tell the American people - voters - that we all did it. And I for one can sick of it. It is past time the American people and every party and every hack, grows the hell up.
Caveat Emptor. There is a reason it is a proverb.
God how I despise whiners!
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.