Goldman Scrutinized by U.S. Prosecutors Examining SEC Case
April 30, 2010
News worldwide: Federal prosecutors in New York are investigating transactions by Goldman Sachs Group Inc., accused of misleading investors by U.S. securities regulators, to determine whether to pursue a criminal fraud case, according to two people familiar with the matter.
The federal review, which lawyers say is common in such a high-profile case, is being done by the U.S. attorney in Manhattan, said the people, who werent authorized to comment and spoke on condition of anonymity.
The Securities and Exchange Commission filed a civil lawsuit against Goldman Sachs on April 16 alleging fraud tied to collateralized debt obligations that contributed to the worst financial crisis since the Great Depression. The burden of proof in a criminal case would be higher than in the SEC’s civil case. Criminal allegations have to be proven beyond a reasonable doubt.
Based on public reports about the SEC matter, a criminal case may be difficult, said Douglas R. Jensen, an attorney with Park & Jensen LLP in New York. The case appears highly complex
Posted by Angelia Kates · Filed Under World news
