Goldman settles for 550MM

omegapoint · Jul 15, 2010

Probably a fine Goldmans legal team would allow.

krazykarl · Jul 15, 2010

Quote from nickdes:

If what they did was as bad as they say for the investors, then all of the fine should go to make the investors whole. The real crooks here are the SEC and the Federal government.

But it wasn't that bad - this is just a way for the SEC to look like it's doing it's job and transfer some $$$$ from wall st. to the treasury. Sucks that once you get really successful this is the cost of doing business.

krazykarl · Jul 15, 2010

Quote from brownegg:

Goldman always wins!

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On a more serious note, what a bunch of useless pussies the SEC is.

You guys don't seem to get it: the SEC had no case from the beginning. This is not about the SEC being pussies, it's about them filing a suit where they had no legal basis for winning.

The equity transfer in this case is almost totally related to PR. GS finally got a clue and instead of destroying the SEC in court(they would have, but the bad blood/PR from it would be enormous) and making them look more incompetent, GS is paying their "fine" and moving on.

LEAPup · Jul 15, 2010

Quote from kinggyppo:

they can do no wrong, nice runup on the stock though. I hear the sec will take the fee and spend it all on state of the art porn, they may even fly a few of the gals in.

LOL!!!!!!!!!!!!!!!!!!!!!!!!! I had to print that logo! I may tape it to a monitor if I get audited

)

brownegg · Jul 15, 2010

Quote from krazykarl:

You guys don't seem to get it: the SEC had no case from the beginning. This is not about the SEC being pussies, it's about them filing a suit where they had no legal basis for winning.

The equity transfer in this case is almost totally related to PR. GS finally got a clue and instead of destroying the SEC in court(they would have, but the bad blood/PR from it would be enormous) and making them look more incompetent, GS is paying their "fine" and moving on.

I don't disagree with any of that. Nor do I think it is counter to what I posted.

tmarket · Jul 15, 2010

Smiles all around, even back in April after the indictment. They knew the fix was in. I believe Blankfein was saying something like: "trust me, I know how to fix this".

These bald guys from Goldman are adorable when they they know they are are right.

Clubber Lang · Jul 15, 2010

$550 million is a weeks worth of equity trading for GS. They made more than $100 million on 35 of the 63 trading days last qtr (including ZERO down days).

This bribe to the SEC was just a way to get some good PR for both the corrupt SEC and the vampire squid Goldman.

jonp · Jul 15, 2010

Quote from atticus:

Yeah, I think that's pretty light, and the mkt seems to agree. Long from 151.60. I'll cover on a touch of 155 tomorrow.

If I were you I would chop them after hours at 153 and change. I don't think you're getting 155 tomorrow at any point during the day.
First of all there will be tons of sellers, everybody that loaded up in the 130's. Second it's options expiration tomorrow. My call is GS closes tomorrow below 150, just to screw a bunch of people over.

Cheese · Jul 15, 2010

Quote from krazykarl:

You guys don't seem to get it: the SEC had no case from the beginning. This is not about the SEC being pussies, it's about them filing a suit where they had no legal basis for winning.

That is 100% correct.

And this is what I posted at ET in April.

Quote from Cheese:

My experience at this level is that the SEC case is weak and as is often the case the charges make allegations that seem highly damaging and very compelling. They are of course heavily slanted.

The portfolio of mortgage securites either met or did not meet ACA's independent criteria. That is the question? But ACA would not vouch for a portfolio that did not meet their own independent criteria. Paulson shorting it by buying corresponding credit default swaps is irrelevant. Paulsons at the time were taking a small minority view that a big housing bust was coming up.

Tacticly the SEC has already done the damage to Goldman Sachs. And it would appear to have been intentional tactics. Media, commentators and so-called experts are supporting the SEC charges. So GS may eventially settle it rather than fight it. Sometimes when you are not guilty you can choose to settle such charges because of the advantage gained in bringing the matter to an end.

The outcome is therefore as I expected.

ammo · Jul 15, 2010

radio report was that sec will get 5-300 mill and the rest will go to wronged clients,gs could get off for as little as 255 mil