Paulson belongs in jail alongside Madoff

and I do mean it!

The other shoe hath dropped and Goldman Sachs is at the tip of this huge iceberg that is crashing down now as I type.

THESE CHEATING LIARS HAVE BEEN CAUGHT!

YOU LIE!

:nopity: :mad:

:dem:

http://www.businessinsider.com/henry-blodget-fraud-fallout-fabrice-tourre-is-toast-goldman-will-be-fine-2010-4

Henry Blodget's take -- and Henry should know how these things work out!

we barely knew ye!



:kick:

Untouchable.

A hedge fund -- betting on a bursting of that bubble, knowing the home mortgages on which that security was based -- helped pick the worst of that lot to be included in that security. Goldman didn't disclose that to investors, who happily gobbled it up.

Meanwhile, that hedge fund, Paulson & Co. Inc, made $1 billion.

"In sum, arranged a transaction at Paulson's request in which Paulson heavily influenced the selection of the portfolio to suit its economic interests, but failed to disclose to investors, as part of the description of the portfolio selection process contained in the marketing materials used to promote the transaction, Paulson's role in the portfolio selection process or its adverse economic interests," reads the SEC's complaint.

http://www.huffingtonpost.com/2010/04/16/goldman-sachs-fraud-charg_n_540934.html

From what I understand, Paulson came up with the security so that he would gain if it tanked (and lose if it boomed). He designed the security to maximize the chance that it would tank. He was completely honest and open about this intention to Goldman. Then, Goldman took the security Paulson created and sold it to investors who would gain if it boomed (and lose if it tanked).

The problem was that Goldman told the investors that a neutral, disinterested third party (as opposed to someone like Paulson) came up with the security. That was a lie (by Goldman). Because of this lie, the investors thought they were betting on a bunch of random houses collected by a neutral financial advisor (which wouldn't be a very risky bet), when in fact they were betting on a collection of loans engineered to have the highest chance of failing. Paulson (from what I read) was honest to Goldman, but Goldman was not honest to the investors on the other side of the bet.

at Goldman because of the risks he was willing to take, apparently with other people's money, did not know what what Goldman was telling investors? Does he act like the kind of guy who was so laid back that he had no interest in such matters, especially when he was financially involved?

I am not on a jury, so I have a right to my opinion, and it is my opinion that he knew everything that was going on, but being the risk taker that he was, he was hoping it would all work out. When they couldn't cover up what they had done, he panicked and ran to Congress to get help.

I had never seen or heard of him before I read his three page dictum to Congress and all I could think was how arrogant he was, to demand that kind of money from tax-payers and to further demand that there be no oversight of what they did with it. It was unbelievable. I thought that this was someone who was so used to not being subjected to oversight, that he didn't even realize how insane he sounded. I thought Congress, especially Democrats, would immediately start an investigation of HIM. Instead, they gave him what he wanted over the wishes of the American people, who are often smarter than they are given credit for.

Even if things were so bad that Congress had no choice but to bail out the criminals, they still should have started an investigation immediately.

I believe Paulson knew everything that went on and knew if they couldn't stop the disaster from happening, they would all be in trouble, because HE knew what they had been involved in.

You are talking about Henry Paulson. The SEC complaint is talking about John Paulson. The two aren't even related.

mean the man everyone knows was involved in the crimes at Goldman Sachs, I stand by my diatribe.

lock him up and throw him to the wolves along with the rest of his unsightly friends!! Madoff seems almost irrelevant compared to what criminal Paulson has executed and seeming gotten away with!

:grr: :grr: :grr:

:dem: :kick:

And I agree btw, he got away with the biggest bank heist ever, so far. Hopefully not forever though.

better get informed before you opine....

'Paulson'. Maybe the complaint ought to be made to the OP. Apparently I am not the only one who took that to mean the man mostly associated with this issue.

Imprisonment is not an option.

but I thought it was Hank Paulson. :D

The fact that he make money is not in and of itself a crime.

all they do is lie about not doing anything wrong!

YOU LIE PAULSON! GOTCHA!

:kick:

thought would go down. He was right. He lied to no one about what he was doing.