Goldman Must Face $1B NY State Suit Over CDO Sales (Jury trial this year)
Source: Law 360
Law360, New York (January 30, 2014, 7:00 PM ET) -- A New York state appeals court on Thursday unanimously upheld a New York state judge's 2012 decision to largely preserve a $1 billion suit over collateralized debt obligation-related securities Goldman Sachs Group Inc. sold to a client in 2007 before allegedly betting against them.
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Read more: http://www.law360.com/articles/505591/goldman-must-face-1b-ny-state-suit-over-cdo-sales
This is the one where they got caught with the most toxic of toxic CDOs
We welcome the appellate courts 5-0 decision and we look forward to putting our fraud claim to a jury once discovery has been completed later this year, Basis managing director Nick Reeves said.
At the centre of the case are two collateralised debt obligations (CDOs) sold by Goldman, known as Timberwolf and Point Pleasant.
This is the one where they got caught with the most toxic of toxic CDOs. Its clear that internally they knew exactly what they were selling. They constructed these to fail and fail quickly ( Thelawyer representing Basis, Lewis Baach partner Eric Lewis said
http://www.smh.com.au/business/court-dismisses-goldman-sachs-hedge-fund-appeal-20140131-31rtc.html
SunSeeker
(51,657 posts)nikto
(3,284 posts)This is as probably as threatening to Sachs
as a 25-cent parking ticket.
denem
(11,045 posts)The DOJ did not settle possible criminal action. Holder supposedly shelved it for lack of evidence.
nikto
(3,284 posts)Then it'll be like a $50 ticket.
denem
(11,045 posts)know what I mean. Discovery is discovery, and the plaintiffs have an email or three.
AtheistCrusader
(33,982 posts)I like 150 better.
nikto
(3,284 posts)It was such a crowd-pleaser back in the day.
TexasTowelie
(112,363 posts)Please denem, please please please tell us how you really feel.
denem
(11,045 posts)A.Big.Day.For.Goldman
After all, this is Our very own Gilded Age isnt i't?
If you know that Libya is about to sue you, and the court will rule on the first case about CDOs that may go to trial, it takes some kind of special hubris to announce the CEOs bonus on that day, But that's the law I guess. If Goldman brings down a foreign government, well, I'd say that was news too.
Demeter
(85,373 posts)Thanks for the glad tidings of great joy!
Scuba
(53,475 posts)Pensioneers, no doubt ....
Goldman Said to Boost CEOs Bonus 11% to $21 Million
http://www.bloomberg.com/news/2014-01-30/goldman-increases-blankfein-s-stock-bonus-11-to-14-7-million.html