Goldman Sachs to Pay $5 Billion in Damages Over Mortgage Bond Swindling
April 11th, 2016Via: Reuters:
Goldman Sachs Group Inc has agreed to pay $5.06 billion to settle claims that it misled mortgage bond investors during the financial crisis, the U.S. Department of Justice said on Monday.
The settlement, which Goldman disclosed in January, stems from the firm’s conduct in its packaging, securitization, marketing and sale of residential mortgage-backed securities between 2007 and 2009, the Justice Department said.
Investors suffered billions of dollars in losses from the securities bought during the period, the department said.
A Goldman Sachs spokesman could not be immediately reached for comment.
The settlement comprises a $2.385 billion civil penalty and $1.8 billion in other relief, including funds for homeowners whose mortgages exceed the value of their property, as well as distressed borrowers.
Thanks Kevin for this post.
I really enjoy seeing the vowel B on that fine. But it ought to be a T for trillion. Its not over yet.
Watched the Big Short this weekend, but had to go over my entire movie collection in VHS and DVD amassed over the years of caregiving to realize I had lost my copy of Margin Call. One of the best movies ever on the mortgage fraud.
Have found a new way to make the perfect organic popcorn: ghee and popcorn put into the pot all at the same time. Don’t take the lid off until the popcorn is done popping. Add butter to it when its done. Its light and fluffy. Wow so good and satisfying.
Just like the high end fraud in billion dollar mortgage market is going to be later this year.
Munch, munch, munch. E
My recipe for popcorn