Goldman Subpoenaed by FCIC after Sending Billion Pages of “Rubbish” to Panel
by ilene - June 7th, 2010 7:50 pm
Goldman Subpoenaed by FCIC after Sending Billion Pages of "Rubbish" to Panel
Courtesy of Mish
The Financial Crisis Inquiry Commission (FCIC) is annoyed at the prospect of wading through billions of pages of "rubbish" that Goldman sent in response to an inquiry.
Here’s the result: Goldman Subpoenaed by FCIC After Panel Says Firm Hindered Probe
Goldman Sachs Group Inc. was subpoenaed by the Financial Crisis Inquiry Commission after panel members said the most profitable firm in Wall Street history engaged in a document “dump” to hinder a probe.
Goldman Sachs sent more than a billion pages of documents, FCIC Vice Chairman Bill Thomas said on a conference call with reporters today.
“We did not ask them to pull up a dump truck to our offices and dump a bunch of rubbish,” said Angelides, 56, who previously served as California’s treasurer. “This has been a very deliberate effort over time to run out the clock.”
Thomas said the panel’s requests to Goldman Sachs go back “several months.” Information the firm turned over didn’t comply with what was asked for and has put FCIC investigators in the position of “searching through the haystack for the needle,” he said.
“We expect them to provide us with the needle,” he said.
Federal prosecutors in New York are also investigating transactions by Goldman Sachs to determine whether to bring charges, people familiar with the matter said April 29. The company hasn’t been accused of criminal misconduct.
Finra Finds "Widespread Use Of High-Speed Algorithmic Trading" Was Likely Cause For Flash Crash
Zerohedge reports Finra Finds "Widespread Use Of High-Speed Algorithmic Trading" Was Likely Cause For Flash Crash
From Reuters: "Regulators probing the mysterious May 6 "flash crash" in the stock market are unlikely to find a single cause, though the widespread use of high-speed algorithmic trading was in general likely behind it, the head of the Financial Industry Regulatory Authority said on Monday. "We won’t stop until we finish the analysis. But I think the answer is there is unlikely to be a single cause," Finra CEO Rick Ketchum told Reuters on the sidelines of a conference here. "It is much more likely to be a proliferation of algorithmic trading that was all subject to the same triggers and didn’t have the same controls."
Unfortunately I cannot find any external reference to that quote from Reuters or anywhere else. The only
Oracle Of Omaha Honors Subpoena
by ilene - June 2nd, 2010 12:19 pm
Oracle Of Omaha Honors Subpoena
Courtesy of Karl Denninger at The Market Ticker
So much for "transparency", "fair dealing" and similar.
Warren Buffett was "invited" to testify before the FCIC today. He declined.
Now one must understand that when a Congressionally-authorized panel "invites" you to appear, you’re not really being asked. Right behind said invitation, should you refuse, is nearly-always a subpoena.
Buffett, believing that he has no duty to actually talk about what happened (especially with the ratings agencies of which he has, until fairly recently, held a major stake in via Moody’s), decided to say "nuts" to the invitation.
That in turn led to a subpoena, as expected.
True to form of a snubbed "King" (remember, there’s kings and there is everyone else – the law applies only to the "everyone else") Buffett has failed to provide any sort of prepared testimony in advance to the FCIC. That’s a snub too – it is common practice, and considered good form, to provide a written document containing your opening testimony a day or two before you appear so that the panel is prepared to respond to the gist of your comments.
Buffett, of course, deigned to schedule an interview with Tout TV just before going on, it has been announced. So rather than provide his testimony to the Congress, he will instead give it to CNBS and allow them to spin it into whatever they’d like just before going in the dock.
That’s nice.
The oligarchs are such a sniveling pack of frauds. If there’s nothing to be disclosed of importance, why not show up at…