Goldman counterparties

Reader comment on: More on Goldman and the Fabulous Fab

Submitted by J.Johnson (United States), Apr 16, 2010 13:29

This really is just the tip of a very big iceberg. There are many counterparties to the Goldman CDO's that allowed people like Paulson to bet against the housing market and it's inconceivable that most of them did not suffer whopping losses when the market collapsed. Also, since Goldman was just one of a number of players in the synthetic CDO market who played both sides of the street, this SEC action should, and probably will, open the floodgates for these other firms to be hauled into court to explain their obvious conflicts of interest. Goldman and the firms like it should suffer the fate of Enron because they behaved as arrogantly and unethically as Enron. Absent their very useful handmaidens in government, they probably would have all gone the way of Enron already. It is really just the flipside of 'too big to fail,' from which they all benfited handsomely. The sooner that lunacy disappears, the sooner taxpayers will be free from supporting these pirates.

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