Goldman Sachs Bought Fire Insurance on Someone Else's House and Then Committed Arson

If you want to see the details complied by various investigating committees and organizations regarding the corruptions and fraud committed by Goldman Sachs, then read the following article by Bill Black.  It made me physically nauseous to read what Goldman has done to unsuspecting peoples of the world.  We should not forget what they stand for--a predator bank.

Goldman Sachs Proof that God hates its Customers
By William K. Black - New Economic Perspectives
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Goldman Sachs’ abuses that helped drive the crisis

Goldman was a major “vector” spreading the fraudulent mortgage transactions that drove the U.S. financial crisis.  The United States government has brought multiple fraud charges against Goldman.  The Federal Housing Finance Administration (FHFA), in its capacity as conservator for Fannie Mae and Freddie Mac), sued Goldman.  The FHFA charges that Goldman:

75. Defendants had enormous financial incentives to complete as many offerings as quickly as possible without regard to ensuring the accuracy or completeness of the Registration Statements, or conducting adequate and reasonable due diligence. For example, the depositor in virtually all the Securitizations, GS Mortgage Securities Corp., was paid a percentage of the total dollar amount of the offering on completion of the Securitizations. Similarly, Goldman, Sachs & Co., as the underwriter, was paid a commission based on the amount it received from the sale of the Certificates to the public.

76. As revealed by the U.S. Senate Permanent Subcommittee on Investigations, a March 9, 2007 e-mail from Defendant Daniel L. Sparks, who was both an officer and director of Defendant GS Mortgage Securities Corp., as well as the head of Goldman’s mortgage department, demonstrates that Goldman put the highest priority on packaging and selling Goldman’s warehoused mortgages, if for no other reason than to quickly get them off Goldman’s books: “Our current largest needs are to execute and sell our new issues—CDO’s and RMBS—and to sell our other cash trading positions…. I can’t overstate the importance to the business of selling these positions and new issues.” U.S. Senate Permanent Subcommittee on Investigations, Hearing on Wall Street and the Financial Crisis: The Role of Investment Banks, Ex. 76 (Apr. 27, 2010).

The context is that under the direction of Henry Paulson, Goldman Sachs invested heavily in non-prime loans.

Please read the rest of the article here