Skip to comments.Goldman Caught Using European Loophole To Help Massively Understate Greek Deficit
Posted on 02/09/2010 8:10:19 AM PST by FromLori
This looks pretty bad for both Goldman and Greece, as if things could look worse.
According to a scathing piece in Der Spiegel, European statisticians in Luxembourg have had a very difficult time getting proper Greek economic and financial data for years.
Worse yet, Goldman Sachs appears to have been helping Greece take advantage of a European regulatory loophole in order to understate its deficits:
(Excerpt) Read more at businessinsider.com ...
Man when the sh!t hits the fan on this its going to hit a lot harder than I originally thought...
ping related stories
Frankly, of what I know, I want to see all the managers of Goldman Sachs behind bars until they die.
Goldman Sachs, ALONE, contributed more to BHO's presidential campaign than McCain/Palin received from ALL of Wall Street.
Perhaps Henry Paulson and Timothy Geitner and Barack Obama will help pooor little GS out.
We need a picture of Claude Rains exclaiming “I’m shocked, shocked to find that gambling is going on in here!” at this point.
Me too after how they donated to obama ruined peoples 401ks etc.
isn’t this all what our founding fathers worried about?.....the insidious power of the unelected to alter and damage the security of the American people?...and now GS is doing it to the world..
“Frankly, of what I know, I want to see all the managers of Goldman Sachs behind bars until they die.”
But, but Lloyd Blankfein stated that “Goldman is doing God’s work”
MOre of those nasty off balance sheet loans and investments.
Will Greece default on Goldman Sachs?
Who is his God Lord Of The Flies?
Did you ever see the wiki pic of Lord of he Flies?
lol on the right
Hennie Pennie did you see soros is supposed to be in on it!!
Link or source?
"And I sincerely believe, with you, that banking establishments are more dangerous than standing armies; and that the principle of spending money to be paid by posterity, under the name of funding, is but swindling futurity on a large scale."
- Thomas Jefferson, in a letter to John Taylor in 1816.
“Who is his God Lord Of The Flies?”
Ahem.....he never specified ;-)
University of California $1,591,395
Goldman Sachs $994,795
Harvard University $854,747
Microsoft Corp $833,617
Google Inc $803,436
Citigroup Inc $701,290
JPMorgan Chase & Co $695,132
Time Warner $590,084
Sidley Austin LLP $588,598
Stanford University $586,557
National Amusements Inc $551,683
UBS AG $543,219
Wilmerhale Llp $542,618
Skadden, Arps et al $530,839
IBM Corp $528,822
Columbia University $528,302
Morgan Stanley $514,881
General Electric $499,130
US Government $494,820
Latham & Watkins $493,835
Senator Corazine, a former Goldman CEO, was on CNBC this morning and when a talking head started talking (attempting sarcasm) about how Goldman Sachs was the root of all the evil that has just taken place, another talking head quickly changed the subject before anyone could utter an additional word.
Wall Street to Obama = 3,500,000
Wall Street to McCain = 1,500,000 approx. on both
Is this the first time you've heard about this???
Maybe Lori has the URL; also, if you are interested in Goldman Sachs, do NOT miss the articles that Matt Tiabi wrote. They are scathing indictments of GS and their BUBBLE MACHINE
Ever since I heard about the PIGS and the STUPIDS, I’ve presumed that Soros’s handiwork was in evidence.
I just read that Blankenfein the CEO of Goldman had accepted a reduced pay package of 9 million dollars worth of stock, rather than the $100 million for which he was eligible. Isn’t that noble of him?
Goldman Sachs has all the appearance of being a criminal enterprise. It should be prosecuted under RICO and broken up.
A participant in the capital markets who shorts for its own accounts products while at the same time promoting those products to its customers needs to be put out of business.
Goldman employees better buy running shoes.
Goldman Sachs is so dirty they need to be shut down immediately. Have their assets seized and their excutives interrogated by the FBI. I am talking dark room, bright light bulb and rubber hose.
Of course I know this will not happen since Goldman Sachs owns the Government. We are a nation of Goldman Sachs, by Goldman Sachs and for Goldman Sachs.
What are you looking for the donations to zero?
Obama coddles bankers
His credibility sinks further as Democrats schmooze the lobbyists
In his year-end interviews with friendly news outlets like The Washington Post and National Public Radio, President Obama had a curious choice for his biggest accomplishment of the year: the bailout of the financial sector.
Irked, Wall St. Hedges Its Bet on Democrats
There were SO many GS threads last fall, that I'm having difficulty located the precise posting you made about the HUMUNGOUS campaign contributions to BHO.
I was 'floored' with your information, because before Meg Whitman was caught doing insider trading at GS, she was on the Board of Directors at Goldman Sachs --- so it was utterly bizarre to me that GS wouldn't contribute heavily to either Meg's BFF, Mitt Romney, or to John McCain whose campaign she also worked on.
Goldman Sachs implicated in the potential Greek DEFAULT which may bring the EURO into serious difficulty.
Goldman Sachs, ALONE, contributed more to BHO's presidential campaign than McCain/Palin received from ALL of Wall Street.
This is the story I think you mean but there have been so many posts about it I don’t which FR one you mean sorry.
Lets start with the numbers. Why is a first term Senator pulling down almost $300,000 a year from Goldman Sachs, Lehman Brothers, Bear Stearns, Fannie Mae, Freddie Mac, AIG, Countrywide Financial, and Washington Mutual? He has not even completed his fourth year in the Senate and received a total of $1,093,329.00 from these eight companies and their employees. (all data from OpenSecrets.org). John McCains numbers, according to OpenSecrets.org for the period 1990-2008 (i.e., 18 years worth of data) only collected $549,584.00. In other words, Barack is receiving $273,582.25 (and 2008 is not over) per year while McCain raised a paltry $30,532.44.
Want another shocker? Barack Obama has received more from one sourceGoldman Sachs $542,252.00than McCain has from all of the companies combined. Who the hell is more beholden to lobbyists? And why does a junior Senator from Illinois rate this kind of dough?
“In the Greek case the US bankers devised a special kind of swap with fictional exchange rates. That enabled Greece to receive a far higher sum than the actual euro market value of 10 billion dollars or yen. In that way Goldman Sachs secretly arranged additional credit of up to $1 billion for the Greeks.
This credit disguised as a swap didn’t show up in the Greek debt statistics.”
Man, that devil photo looks a lot like a Goldman trader to me.
Trader? Or should I say traitor?
Oh well, in the case of money, I ma sure they think there is no such think as country or patriotism or even good .... only good profits however they are made.
Remember the Matt Taibbi article calling Goldman “A vampire squid stuck on the face of humanity ........ Forever.
How to stop them from stamping on our necks ...... forever?
G/S has a good friend in WH COS Rahm Emanuel.
Goldman Sachs Will Be Sitting Pretty With Emanuel in the Obama White House
By: Timothy P. Carney, Examiner Columnist, Nov 21, 2008
Goldman Sachs always has clout in Washington, as evidenced by the firms alumni serving as Treasury secretaries under both Presidents Bush and Clinton. Today, in these tumultuous times of bailouts and meltdowns when the investment banking leviathan needs Washington more than ever before, Goldman can leverage its most valuable asset yetincoming White House chief of staff Rahm Emanuel. Goldman Sachs is the giant of Wall Street, and more than any other investment bank, Goldman is surviving the current financial storm.
Traditionally a Democratic booster, and one of Barack Obamas top sources of funds in this past election, Goldman has always had some particularly strong allies within government. Emanuel is one such ally. An interesting early chapter in the Goldman-Emanuel relationship took place in the setting of Bill Clintons campaign for the White House in 1992. Clinton hired Emanuel as his chief fundraiser.
At the same time, however, Emanuel was on the payroll of Goldman Sachs, receiving $3,000 per month from the firm to introduce us to people, in the words of one Goldman partner at the time. This is certainly a noteworthy relationship, but its one that has almost entirely escaped scrutiny. (snip)
In his four terms in Congress, Emanuel has raised $74,750 from Goldman, making the firm his number four source of funds. Goldman has helped Emanuel. How has Emanuel helped Goldman? The most obvious answer, as mentioned in this column two weeks ago, is in Emanuels lead role in shepherding the $700 billion bailoutfirst proposed by former a Goldman CEO, Bush Treasury Secretary Henry Paulsonthrough the skeptical House.
Of course, back in the Clinton days, Goldman benefited from NAFTA and the bailout of the Mexican currency, with Emanuel pushing NAFTA through Congress, and Rubin hammering out the peso bailout. Did Goldman improperly funnel money to the Clinton campaign by subsidizing Emanuels salary in 1992? Did Goldmans help to Clinton spur the Democratic president to push NAFTA and the Mexican bailout?
The answers to these questions are opaque, and with Emanuel burrowed deep within the Obama White House, the continued relationship between Goldman Sachs and Obamas right hand man wont be easy to follow.
Watch which regulations of Wall Street Obama fights for. Watch where the bailout money goes. And dont be surprised Goldman soon sitting pretty once again.
THINGS WE DO NOT KNOW ABOUT RAHM Did Wall Street Rahm reveal all of his ties to financial institutions involved in Obama's trillion dollar federal bailout of financials.......like Goldman Sachs, for instance?
The following is from Zero hedge (link) does not work for more - (sorry)
The following is from Zero Hedge.
“In the pre-math of the Greek collapse, conspiracy theories are swirling about who keeps blowing Greek CDS spreads wider. The answer, so far completely unconfirmed, is that a large US investment bank (we “wonder” just which US investment bank dominates the sovereign CDS market), and two major hedge funds are behind the CDS “attacks” on Greece, Portugal and Spain. According to Jean Quatremer, and his Coulisses de Bruxelles, UE blog, the plan involves blowing spreads to record levels, and is prompted by the hedge funds anger at not having been allocated substantial amount of the recent 8 billion GGB issue, in order to lock in profits from their CDS long exposure. Being thus unhedged with a short bias, their alternative is to continue buying protection else risking to mark losses on their extensive CDS short risk exposure.”
Never mind - FromLori has the working link in her post:
Thanks for posting the Collins report from July 10, 2009.
It was a warning that should have been heeded.
Wonder if this was the “international scam” an Indian newspaper wrote about last August. The article said it would make Made-off look like small change.
Found it in the middle of the night, when I went back to reread and save it in the morning it was gone.
Yeah, I wonder "which" investment bank they're speaking of, right?? LOL!
I weonder WHY nobody anywhere has taken out G.Soros?? I mean, doesn't that man have dozens of thousands of serious enemies??
Jim Sincliar opines that it’s a short raid just like we witnessed when Bear, CITI and Lehman went down.
As for Soros, he must have a very good security team. I recall Glenn Beck saying that he was surprised one night to find himself dining in the same NYC restaurant with Soros one night, and I remember thinking, ‘wow, that’s odd, Soros dines in public? A man so hated?’
Amazing! He must have brought half a dozen food-tasters with him.
You’re likely right!
Greece's debt managers agreed a huge deal with the savvy bankers of US investment bank Goldman Sachs at the start of 2002. The deal involved so-called cross-currency swaps in which government debt issued in dollars and yen was swapped for euro debt for a certain period -- to be exchanged back into the original currencies at a later date.
I'm not as financially savvy as 'our buddy'(/s) Rahm Emanuel, but to me it looks like his buddies at GOLDMAN SACHS were basically having Greece pull a Check Kiting Scam, except with real money.
Pretty soon 'someone' better be sitting in a holding cell at a Federal Courthouse.
I just can't wait til Rahm (or family members) announce they are going on a "family vacation" to Greece.
U.S. stocks rallied, sending the Dow Jones Industrial Average up the most since July, as growing prospects for a bailout of Greece eased concern deteriorating government finances will derail the global economic recovery.
EU leaders will discuss Greeces plans to reduce the regions biggest deficit when they meet Feb. 11, and European Central Bank President Jean-Claude Trichets decision to leave a meeting of policy makers in Sydney one day early fanned speculation that officials will agree on aid.
Fitch Ratings analyst Brian Coulton said an EU bailout for Greece is a possibility and not assured. He spoke on a conference call today. Equities trimmed gains earlier, and European shares erased a rally, after Fitch Ratings analysts also said the U.K. needs to pledge further measures to rein in its budget deficit, and the medium-term outlook for Greece is cloudy.