Blankfein to Shareholders: We'll Rebuild Reputation

'New York Times' analysis finds 350 instances of banks getting free passes

(NEWSER) - The Securities and Exchange Commission has repeatedly allowed Wall Street's biggest banks to avoid penalties specifically intended to punish and deter fraud, a New York Times analysis of SEC records reveals. Over the past decade, the SEC has on almost 350 occasions granted waivers exempting big financial companies from sanctions, allowing banks like Goldman Sachs and JP Morgan to continue to enjoy advantages, like protection from shareholder lawsuits, that are supposed to be reserved for the most dependable companies. More»

$500M penalty amounts to just 2 weeks of profits

(NEWSER) - The SEC is boasting that the $550 million settlement it agreed to with Goldman Sachs is the "largest-ever penalty paid by a Wall Street firm." That may be true, but that doesn't mean it's actually going to chasten Goldman. Top put things in perspective, Pro Publica notes that the fine is...

• ... less than Goldman gave away to small businesses as a PR move in November.
• ... less than one-tenth of the value Goldman stock gained yesterday on news of a settlement.

Goldman Sachs CEO plans to strike apologetic tone in Senate testimony

(NEWSER) - The CEO of Goldman Sachs will tell a Senate panel tomorrow he understands Americans' distrust of the bank, but its "functions are important to economic growth and job creation." Lloyd Blankfein's remarks, released ahead of the eagerly awaited hearing, are his most accommodating yet, reports the New York Times . He will describe April 16, when the SEC charged Goldman with fraud , as "one of the worst days in my professional life, as I know it was for every person at our firm." More»

Goldman Sachs CEO rails against SEC in call to clients

(NEWSER) - Lloyd Blankfein called up a host of top Goldman Sachs clients yesterday and told them in no uncertain terms where the SEC could stick its fraud charges. Blankfein complained that the case was politically motivated, and would “hurt America,” one of the clients tells the Financial Times . “He was very aggressive. He feels that the government is out to kill them.” More»

Agency examines rules for private financing after Goldman investment

(NEWSER) - Goldman Sachs’ deal with Facebook might bring the SEC down on all manner of privately held stock purchases. The regulatory body has begun an investigation to see whether it needs to rewrite disclosure rules for privately held firms, and the very line dividing public and private firms, sources tell the Wall Street Journal . They’ll also look into the Facebook deal, and others like it, to see if they’re designed to skirt the 500-shareholder rule. More»