Post Tagged with: "law"
Is the Goldman case a one-off or the first of many?
This is THE issue that everyone wants to know. When I wrote the The politics of the Goldman fraud case and referred to "leeway in how to proceed later against Goldman and other firms using the same practice," I meant that it was not at all clear whether this was a politically-motivated one–off or the
Chris Whalen on “The Age of the Trader”
Chris Whalen of Institutional Risk Analytics talks about how the shift in power from I-banking to trading at firms like Goldman has invariably led to conflicts of interest where clients do not come first, something I first broached last summer in "More on why big capital markets players are unmanageable". Back when Wall Street was
The politics of the Goldman fraud case
When I first wrote about the case against Goldman Sachs for fraud on Friday I said that my reaction was “largely positive” as fraud was a major factor in what led to crisis and it is high time regulators started to acknowledge this. Nonetheless, from my vantage point. The Goldman case is a politically-charged one
Vampire squid alert: Goldman is clearly being singled out
I just posted on Goldman’s fraud charges this morning with my article "SEC Charges Goldman Sachs With Fraud; May The Perp Walks Begin." Below are my (now updated) thoughts on the case having seen more of the information surrounding the case including the complaint which is embedded in the post linked above. I have also
SEC Charges Goldman Sachs With Fraud; May The Perp Walks Begin
From the SEC: The Securities and Exchange Commission today charged Goldman, Sachs & Co. and one of its vice presidents for defrauding investors by misstating and omitting key facts about a financial product tied to subprime mortgages as the U.S. housing market was beginning to falter. The SEC alleges that Goldman Sachs structured and marketed
Vicky Ward: On Lehman "we really do need prosecutors to get people into a courtroom"
Vicky Ward, author of "The Devil’s Casino: Friendship, Betrayal, and the High Stakes Games Played Inside Lehman Brothers," told Bloomberg that prosecutors need to get going if we are going to get any answers regarding why Lehman Brothers collapsed in a heap in the largest bankruptcy in US history and revealing a massive $150 billion
FBI warns of mortgage fraud ‘epidemic’: Seeks to head off ‘next S&L crisis’
Rampant fraud in the mortgage industry has increased so sharply that the FBI warned Friday of an "epidemic" of financial crimes which, if not curtailed, could become "the next S&L crisis." Assistant FBI Director Chris Swecker said the booming mortgage market, fueled by low interest rates and soaring home values, has attracted unscrupulous professionals and
Chanos: Where are the perp walks?
The New York Observer has a wonderful interview with Jim Chanos out today. In it, he talks about probable fraud and criminality at Lehman. I want to use his comments as a lead-in to a wider discussion about fraud and criminality in financial services. The Chanos interview reads: The Observer: Did anything surprise you about
Lehman Scandal: Where’s the Follow Up?
This is a post which originally appeared at New Deal 2.0 by Eliot Spitzer and Joshua Rosner. Eliot Spitzer is former governor of New York. He blogs for Slate.com. Joshua Rosner is managing director of an independent financial services research firm. It doesn’t take a rocket scientist — and certainly not an accountant — to
Bank Fraud 101: How to Rob A Bank
This is a post from John Lounsbury. Charles J. Antonucci Sr., the former president and chief executive of the Park Avenue Bank of New York, made a desperate move to try to save his bank with the infusion of TARP funds. TARP refers to the government program to provide up to $780 billion in loans
Mortgage fraud indictments result from media investigation
Mortgage fraud was rampant during the housing boom. Regulators were asleep at the wheel during all of this. But now we are getting some indictments as WFAA News 8 in Dallas reports (hat tip Housing Wire). This television station did the dirty work for regulators and uncovered massive amounts of mortgage fraud. Byron Harris reports:
Consumer Protection: Complexity is the handmaiden of deception
This is the third in a series of posts about ideas for financial reform generated by the “Make Markets Be Markets” conference I attended yesterday in New York City on 3 Mar 2010. You can download all of the written presentations here. A century ago, anyone with a bathtub and some chemicals could mix and