GoldmanSachs666 Message Board

Fraud*
According to the Collins English Dictionary 10th Edition fraud can be defined as: "deceit, trickery, sharp practice, or breach of confidence, perpetrated for profit or to gain some unfair or dishonest advantage".[1] In the broadest sense, a fraud is an intentional deception made for personal gain or to damage another individual; the related adjective is fraudulent. The specific legal definition varies by legal jurisdiction. Fraud is a crime, and also a civil law violation. Defrauding people or entities of money or valuables is a common purpose of fraud, but there have also been fraudulent "discoveries", e.g. in science, to gain prestige rather than immediate monetary gain
*As defined in Wikipedia

Thursday, September 22, 2011

The Rise and Fall of Goldman Sachs

Editor's Note:  Sorry, this was set to post Thursday morning at 5:00 AM.  For some reason it did not.  I am posting it now10:45 PM so please be aware that the stock price below was at the close of business 9/21/2011.

Goldman Sachs Group Inc 
$97.86
-4.75-4.63%
 

The Goldman Sachs Group, Inc. (NYSE:GS): Down 4.63% to $97.86. The Goldman Sachs Group, Inc., a bank holding company, is a global investment banking and securities firm specializing in investment banking, trading and principal investments, asset management and securities services. The Company provides services to corporations, financial institutions, governments, and high-net worth individuals.
From Wall Street Chat Sheet...click here for full list of companies

 The news above shows that the glitter may be coming off and the great Vampire Squid might be drowning in its own ink.  The once high flying, high trading bank pretender is showing signs of vulnerability.  Perhaps the inability to create and sell high risk products to customers world wide then bet against them for their own profit and gain is bringing this hyperinflated, fraudulent FDIC chartered banking company to its knees.


It is becoming more and more apparent to this writer that their ability to generate the earnings paid out to themselves in the form of income an bonuses was a direct result of some very dubious business practices.  So dubious in fact, that this writer believes that criminal prosecution of their leadership should be in their not so bright future.  Of course, their leader, God's assistant, Lloyd Blankfein has already secured the services of a very high powered attorney as he possibly feels the heat.

With their stock value plummeting it is very possible that their stockholders will begin to take a serious look at how thier company has been managed for the past few years.  How, their investments have dwindled as have the investments of those million around the world.  Possibly another scam by the managers of this company but this time against the very people they work for.


There is an old saying, "what goes around, comes around" and the "comes around" is about to come.  With pressure from inside - the stockholders - and the many people like us out there, the government will have a difficult time in looking the other way.    Which leads to this next story.


 US sees challenges in some financial crime cases
The government is continuing an aggressive drive to hold accountable those responsible for the 2007-2009 financial crisis, but prosecutors may find it tough to prove criminal intent in some cases, a top Justice Department official said in an interview.
Assistant Attorney General Lanny Breuer, head of the department's criminal division, rejected criticism that the Justice Department has dragged its heels in prosecuting possible fraud by Goldman Sachs (GS.N) and other investment banks, calling its response thus far "incredibly aggressive."
Once again, a government official taking the party line and dismissing any possibility of wrong doing or to be a little kinder, of being lax in their duties and responsibilities to uphold the law of the land that they are bound to do.



The criticisim that the Jusitce Department has dragged its heels in prosecuting possible fraud by Goldman Sachs specifically and other banks is obvious to many of us.  To deny that is irresponsible on the part of the Justice Department.  It just makes it more apparent to me that our government via our elected officials are either participating in a massive cover up or at the very least attempting to act as if something positive is being done in hopes that if enough time passes all will be forgotten.
"A lot of these cases take a long time to investigate.  ..."
Well, I have news for them.  This crisis will be among the many horrific events in mans history that we will never forget.

With millions affected worldwide, the actions of Goldman Sachs and the other so called investment banks have hurt the masses while they themselves continue to dine with the classes.
AGGRESSIVE SAYS BREUER

Breuer said the department had already brought hundreds of fraud cases involving banks, mortgage companies, mortgage-backed securities fraud, and investment companies.
He said federal prosecutors had also won convictions and prison terms for a wide range of "fraudsters" who hurt middle class Americans, as well as bigger fish like Lee Farkas, the former chairman of Taylor, Bean & Whitaker Mortgage Corp, who was sentenced in July to 30 years in prison.
There is no doubt that they have prosecuted the "small fry" in what I say history will record as the greatest scam in the history of the world.  Yes. Taylor, Bean & Whitaker's chairman was sentenced to 30 years in prison only because his company was not Too Big To Fail.  If he got 30 years then perhaps the likes of Blankfein, Jamie Dimon of J.P. Morgan and even Hank Paulson should do much more time for their roles in this great economic worldwide crisis (scam).
AGGRESSIVE SAYS BREUER
Breuer said the department had already brought hundreds of fraud cases involving banks, mortgage companies, mortgage-backed securities fraud, and investment companies.
He said federal prosecutors had also won convictions and prison terms for a wide range of "fraudsters" who hurt middle class Americans, as well as bigger fish like Lee Farkas, the former chairman of Taylor, Bean & Whitaker Mortgage Corp, who was sentenced in July to 30 years in prison.
"He said federal prosecutors had also won convictions and prison terms for a wide range of "fraudsters" who hurt middle class Americans,...".  This is like arresting and prosecuting the street drug sellers who obtain their product from the cartels.  Without product and the encouragement to sell the product most of these "fruadsters" would not have been able to commit their crimes.  If these "street fraudsters" hurt middle class Americans then did not the leaders of Goldman Sachs, Merrill Lynch, Bear Stearns, Lehman Bros., JP Morgan/Chase et al also hurt "middle class Americans"?  Are they not "fraudsters as well?

This statement by a Senate investigator (one of our elected employees) probably sums it up.  Although he is referring to a specific situation the comment made speaks loudly.

The case he was referring to was, the "deal, known as Hudson Mezzanine Funding 2006-1, was seen by some as among the most promising possible fraud cases that could be brought against Goldman. The bank picked all the assets in the deal, then bet against it, and made a $1.35 billion profit at the expense of its clients, the subcommittee report said."
One Senate investigator acknowledged the case was tough to sell to prosecutors because it did not harm ordinary citizens, adding that prosecutors could still pursue civil charges, which are easier to prove in court than criminal charges.
If hurting ordinary citizens is a major criteria for prosecution I believe there are millions upon millions of "ordinary citizens" who can testify that some action taken by the Goldman's et al did cause them harm.  Let's look at all the ones who lost their homes, lost their jobs, lost their retirement funds, lost EVERYTHING.  Is our Senate so blinded by the luxury and health benefits they enjoy that they cannot see the struggles of all of us "ordinary citizens".

By the way, I DETEST being called an "ORDINARY CITIZEN".  I am not ordinary nor are any of our fellow Americans.  WE ARE the country.  WE ARE the employers of those who would call us "ordinary".  This only goes to further exemplify the fact that those we elect to our government view us as dirt in this ever growing two class society of the Have's and Have Not's.  What is ironic is that it is the blood, sweat and tears of those they consider "ordinary" that lines their pockets each day allowing them to be in the category of the HAVE'S.

Read the entire article from Reuters - U.S. sees challenges in some financial cases - ...click here


There is more.  See the links below.

More "small fry" prosecution:
Ex-Goldman Trader Accused of Insider Trading
Bloomberg
By Joshua Gallu - Wed Sep 21 20:17:39 GMT 2011 Spencer Mindlin, 33, and Alfred Mindlin, 68, reaped at least $57000 in illicit profits by trading in December 2007 and March 2008 “with knowledge of massive, market-moving trades” that Goldman Sachs ...

DOJ Mulling Over Criminal Charges Against Former Goldman Director
By Securites Lawprof
The Wall S. Journal reports that DOJ is seriously considering criminal charges against Rajat Gupta, the former Goldman Sachs director whose wire tapped conversations were played at Raj Rajaratnam's insider trading trial. The SEC, whose ...
Focus on Goldman Ex-Director
Wall Street Journal
By MICHAEL ROTHFELD, SUSAN PULLIAM and JEAN EAGLESHAM Federal prosecutors are moving closer toward bringing criminal charges against Rajat Gupta, a former Goldman Sachs Group Inc. director who allegedly leaked inside information about the Wall Street ...

Wouldn't it be nice to see them broken up with some spread out in private quarters in our penal system?
Breakingviews: Goldman Sachs worth more broken up | Video ...
Sept 8. - Reuters Breakingviews columnists say new rules out of Dodd-Frank are limiting Goldman Sachs' private-equity management ... 
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