SEC charges GS with fraud

[wmb]

If the Federal Government would give GS the MAiden Lane account that they conveniently offered to hold for GS than I think GS would be out of business yesterday! But GS and others do not want those crap mortgages and dead beat loans because they than would be out of business. But doesnt GS owe the Federal Government money for every day they hold that crap and carried for them to begin with? GS hasn't paid half of what they owe! But they got bonuses becasue they were making money...... just as long as you dont count all their debt and losses they will make money! Gs knows whats up they dont give a shit! Stop defending this goofy crack smoking company! It seems the Obama got pissed at GS when they went and distributed the bonuses.

You and I are the owners of that Maiden lane fund and I dont want any part of it i wouldnt have invested in it to begin with.

 

[krazykarl]

Quote from wmb:

These clients are not traders, they bought a fund that GS said they were buying. However they didnt know that the "traders" from GS were shorting what their brokers were buying, that is a fundamental illegal move on any trading floor any where and always has been. LEt alone push it on your clients! It is fraud and its unethical. IF you dont understand that that is the point of all this! Many Americans dont get the unethical behavior we are all exhibitng in the name of "F..K You I'm making money".IT is what took down many companies and the SEC is inundated with boatloads of claims! Growing up means having some morals, values ehtics, and money!

Bullshit - traders from the same firm being both long and short an issue goes on every single day. GS prides itself on different parts of the company acting independently of each other. I don't know of a firm that doesn't take both sides of a trade.

You're trying to cloud this discussion with talk of ethics and values - which are red herrings. Trading firms often have employees that have no idea what the other is doing in the market. I don't even know where to begin if for some reason you thought things didn't work like that. One division puts on a particular trade while another division takes a different position which, if both looked at at the same time, takes the other side. Point is the different departments in firms don't know what the others are doing.

And yes, these clients ARE traders dipshit. What, you think the people that bought this fund were teachers and doctors? They were other fund managers that buy and sell professionally for a living. Spare me anything about the end-buyers that were teachers and doctors: my point is this was a deal between people that did this for a living on a daily basis.

 

[Trader666]

GS paid the government back in full + $425,000,000 LAST JUNE.

The rest of your BS is about as wrong as you are on this.

Quote from wmb:

NO they did not,quit smoking the juice! Thas the problem with the frickin bonuses they are getting bonuses and still owe money!

 

[krazykarl]

Quote from wmb:

If the Federal Government would give GS the MAiden Lane account that they conveniently offered to hold for GS than I think GS would be out of business yesterday! But GS and others do not want those crap mortgages and dead beat loans because they than would be out of business. But doesnt GS owe the Federal Government money for every day they hold that crap and carried for them to begin with? GS hasn't paid half of what they owe! But they got bonuses becasue they were making money...... just as long as you dont count all their debt and losses they will make money! Gs knows whats up they dont give a shit! Stop defending this goofy crack smoking company! It seems the Obama got pissed at GS when they went and distributed the bonuses.

You and I are the owners of that Maiden lane fund and I dont want any part of it i wouldnt have invested in it to begin with.

GS paid back everything with interest - so did several of the banks. You just plain don't know what the fuck you're talking about.

 

[rcaldwell]

Quote from krazykarl:

GS paid back everything with interest - so did several of the banks. You just plain don't know what the fuck you're talking about.

US gov't wants a piece of GS's hide. My money is on US gov't.

 

[asiaprop]

which money exactly do they owe to whom? Please enlighten all of us, but please include details ("they owe money to us taxpayers" does not suffice).

Quote from wmb:

Quote from asiaprop:

GS paid back every single penny they borrowed from the government. Wake up dude, not sure why you are still stuck in late 2008...


NO they did not,quit smoking the juice! Thas the problem with the frickin bonuses they are getting bonuses and still owe money!

 

[asiaprop]

thank you!!!

Quote from Trader666:

GS paid the government back in full + $425,000,000 LAST JUNE.

The rest of your BS is about as wrong as you are on this.

 

[krazykarl]

Quote from rcaldwell:

US gov't wants a piece of GS's hide. My money is on US gov't.

You actually hit the nail on the head. They're doing something just to appease the proletariat.

 

[Anaconda]

Quote from nitro:

Here is another interesting story of a firm, Magnetar, that Citadel has a stake in:

http://www.propublica.org/feature/a...one-hedge-fund-helped-keep-the-housing-bubble

This is a great article but I have two questions. Anyone who can answer or offer wise thoughts, I would appreciate. I want to get some viewpoints on this, aside from my own theories.

How is the equity tranchee getting paid 20% returns? I've heard of subprime mortgages at 15-18% in those times but not 20% or more. Additionally, most of them had teaser rates equal 10% or lower. So basically, where are the equity income payments coming from? I'm guessing they are splicing off basis points from the higher tranchees, but from what I remember, some of the top tranchees were already getting 8%-10%.

More importantly, the CDS are only being fulfilled due to the US Treasury's printing press. There was no capital available to pay out the vast majority of them. Did Magnetar predict that the government would step in, something? I also think Goldman thought the same (well knew due to their "edge").

A simple look at the "Magnetar Trade" just begs the question. Where is this profit coming from if not the printing presses, because it simply does not exist and cannot exist.

 

[wmb]

Quote from krazykarl:

Bullshit - traders from the same firm being both long and short an issue goes on every single day. GS prides itself on different parts of the company acting independently of each other. I don't know of a firm that doesn't take both sides of a trade.

You're trying to cloud this discussion with talk of ethics and values - which are red herrings. Trading firms often have employees that have no idea what the other is doing in the market. I don't even know where to begin if for some reason you thought things didn't work like that. One division puts on a particular trade while another division takes a different position which, if both looked at at the same time, takes the other side. Point is the different departments in firms don't know what the others are doing.

And yes, these clients ARE traders dipshit. What, you think the people that bought this fund were teachers and doctors? They were other fund managers that buy and sell professionally for a living. Spare me anything about the end-buyers that were teachers and doctors: my point is this was a deal between people that did this for a living on a daily basis.

why dont you name calling crack head read the complaints! GS knew what the other side was doing therefore its a problem.
No one is talking about not knowing its fraud because they did know! Clouding the issue with ethics and values give me a break, that is the issue oh and fraud!