Goldman Sachs Hudson CDO Said to Be Target of Second SEC Probe

[swag]

Source: Bloomberg

June 10 (Bloomberg) -- Goldman Sachs Group Inc.’s $2 billion Hudson Mezzanine collateralized debt obligation, sold in 2006, is the target of a probe by the Securities and Exchange Commission, according to a person with knowledge of the matter.

The inquiry into the CDO may not lead to any additional actions against the New York-based securities firm, said the person, who declined to be identified because the investigation isn’t public. Michael DuVally, a spokesman for Goldman Sachs, declined to comment, as did SEC spokesman John Nester. The Financial Times reported the probe yesterday.

Goldman Sachs shares have fallen 26 percent since the SEC filed a fraud lawsuit against the firm on April 16 that related to its 2007 sale of a CDO called Abacus. Senator Carl Levin, a Michigan Democrat, said in April that Goldman Sachs’s sales of CDOs such as Hudson raised “a real ethical issue.”

In the Abacus suit, the SEC said Goldman Sachs and one of its employees, Fabrice Tourre, didn’t disclose to investors the role played by hedge fund Paulson & Co. in devising and betting against the securities. Goldman Sachs has denied wrongdoing on the Abacus CDO and said it will fight the SEC’s case.

Read more: http://www.bloomberg.com/apps/news?pid=20601087&sid=aSNYXMe69Kh8&pos=1

[salguine]

1. Give me a fucking break. Goldman Sachs OWNS the SEC and the White House.

[wordpix]

2. well maybe a CHANGE we can believe in is coming...

but only if the sheeple wake up