Editor's Note: There are dozens of posts and articles about what happened between AIG, Goldman Sachs, King Henry and Lord Blankfein. Oh . . . let's not forget Tim the Tax Cheat, because he was the head of the NY Fed when this all went down. Anyway, there are enough serious calls for Goldman Sachs to give back the AIG double-dip, that Washington needs to open an investigations. Below is the title and an excerpt from Business Week . . . main stream media.
Goldman, Give It All Back
by Matthew Goldstein
While the bank is returning the government's $10 billion, why not also return the $13 billion it got from the U.S. through AIG's bailout?
If Goldman Sachs CEO Lloyd Blankfein wants to put his money where his mouth is, he won't stop with just giving back the $10 billion in federal bailout money the investment firm got last autumn. He'll also offer to return some of the $13 billion Goldman (GS) got from the U.S. government by way of the bailout of American International Group (AIG).
. . .
If the government had allowed AIG to file for bankruptcy, Goldman likely would have incurred an even bigger fourth-quarter loss than it reported. So Blankfein owes a bit of gratitude to Uncle Sam. And as my BusinessWeek colleague Roben Farzad pointed out on CNBC on Mar. 27, Blankfein can thank taxpayers by forking over its AIG largesse.
Read the full article - Click Here
Wednesday, April 15, 2009
Was Goldman Sachs Huge Profit Due to AIG Bailout?
Editor's Note: I decided to update this post with a piece from Karl Denninger. But I first saw the information below in emails to me, but I could not verify. It looks like Zero Hedge has verified and they have the full interview online.
BlackRock Confirms Goldman Q1 Profit Was Non-Recurring And A Result Of AIG Unwinds from Zero Hedge
Peter Fisher, managing director of BlackRock (yes, that BlackRock), states in a Bloomberg interview that Goldman's first quarter trading profit is non-recurring in nature, and believes it was mostly due to AIG unwinds.
Additional comments and link to interview - http://zerohedge.blogspot.com/2009/04/blackrock-confirms-goldman-q1-profit.html
Editor's Note: Here's where it also gets interesting. Read this closing piece in Karl's post and then click on his link to read his full analysis.
IT APPEARS GOLDMAN GOT PAID TWICE FOR THE SAME RISK AND THE SECOND PAYMENT CAME STRAIGHT OUT OF THE TAXPAYER'S HIDE.
If so, that transfer payment was improper as Goldman had already collected on the bet and thus must be clawed back. - Emphasis in original!
Read full article: Click Here
BlackRock Confirms Goldman Q1 Profit Was Non-Recurring And A Result Of AIG Unwinds from Zero Hedge
Peter Fisher, managing director of BlackRock (yes, that BlackRock), states in a Bloomberg interview that Goldman's first quarter trading profit is non-recurring in nature, and believes it was mostly due to AIG unwinds.
Additional comments and link to interview - http://zerohedge.blogspot.com/2009/04/blackrock-confirms-goldman-q1-profit.html
Editor's Note: Here's where it also gets interesting. Read this closing piece in Karl's post and then click on his link to read his full analysis.
IT APPEARS GOLDMAN GOT PAID TWICE FOR THE SAME RISK AND THE SECOND PAYMENT CAME STRAIGHT OUT OF THE TAXPAYER'S HIDE.
If so, that transfer payment was improper as Goldman had already collected on the bet and thus must be clawed back. - Emphasis in original!
Read full article: Click Here
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