by TheDeal.com staff | Published July 16, 2010 at 10:58 AM
Goldman and one of its employees, Fabrice Tourre, were charged Friday, April 16, by the SEC for failing to disclose that hedge fund Paulson & Co.
helped structure a synthetic collateralized debt obligation that was
marketed to investors.
The portfolio was created at Paulson's request
and according to Paulson's specifications, according to the SEC, so the
hedge fund would have counterparties for a huge short position it
wanted to take against mortgage-backed securities.
2010
July 15: Goldman
Sachs & Co.agrees to settle
Securities and Exchange Commission charges that it had misled investors
in a mortgage derivatives deal done at the height of the subprime boom.Goldman, which neither admitted nor denied
wrongdoing, has agreed to pay a total $550 million to the U.S. Treasury
and to harmed investors, but left itself open to further SEC
suits in the future. - Vipal Monga
June 10: The SEC is stepping up its inquiries
into a complex mortgage-backed deal by Goldman Sachs that is not part of the civil fraud charges filed against the bank in April, according to the Financial Times.
Apr. 29: The government's suit against Goldman, Sachs & Co.gets even more unusual with reports that the U.S.
Attorney's Office for the Southern District of New York is
investigating the bank. Neither Goldman nor the Department of Justice would confirm the investigation. - David Marcus
Apr. 27: Goldman Sachs Group Inc.
executives and Senate investigators grind through a
contentious examination of the firm's underwriting and marketing of
asset-backed securities and collateralized debt obligations in the
lead-up to the late 2007 collapse of the housing bubble. The
Goldman witnesses rejected lawmakers' assertion that the firm made
nearly $4 billion from a massive short position against mortgage-backed
funds it was marketing to clients in 2007 and that clients were misled
about Goldman's expectations about the funds' performance. - Bill McConnell
Apr. 26: Goldman, Sachs & Co.
chairman Lloyd Blankfein and other company executives will be confronted tomorrow with assertions from the Senate's top investigator
that the firm profited hugely by betting against the mortgage market,
even as it continued to push clients into the very housing securities
it was predicting would collapse. Blankfein and six other current and former
Goldman executives are scheduled to testify as part of the panel's
investigation of the Wall Street's role in the financial crisis. - Bill McConnell
Apr. 19: Germany and the U.K. consider their own investigations into mortgage-backed securities offered by Goldman Sachs Group Inc. after the SEC filed civil charges against the banking giant for defrauding customers. - Andrew Bulkeley
Apr. 16: The SEC files charges against Goldman, Sachs & Co.and one of its employees, Fabrice Torre,for allegedly misleading investors. The civil suit may lead to more actions against Wall Street for the role big money
houses played in the mortgage securitization disaster and the resulting
economic meltdown. - Bill McConnell
Ken deRegt will retire as head of fixed income at Morgan Stanley and be replaced by Michael Heaney and Robert Rooney. For other updates launch today's Movers & shakers slideshow.
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Goldman and one of its employees, Fabrice Tourre, were charged Friday, April 16, by the SEC for failing to disclose that hedge fund Paulson & Co.
helped structure a synthetic collateralized debt obligation that was
marketed to investors. 
