Friday, June 10, 2011

Another Slap on the Tentacles for the Global Vampire Squid

Goldman Sachs Group Inc. (GS) agreed to pay a $10 million fine and stop holding private meetings of stock analysts and traders known as “huddles” to settle an investigation by Massachusetts’s chief securities regulator.
The settlement ends a two-year probe by William Galvin, the secretary of the commonwealth, into New York-based Goldman Sachs’s “Asymmetric Service Initiative,” in which information on analysts’ trading ideas was disseminated earlier to favored clients. The company will “permanently discontinue” the practice, Galvin’s office said in a statement today.
A ten million dollar fine for Goldman is payable out of their petty cash fund. Goldman had a net income last year of $8.4 billion.

If you made $50,000 last year, the fine that Goldman paid would be equivalent to your paying a fine of sixty bucks. You'd probably chalk whatever you got the ticket for to shitty luck and keep on doing whatever it was you did. And I will bet that is exactly what Goldman will do.

3 comments:

  1. Agreed, a $10,000,000 fine is about a half hour's profits for those pirates.

    BUT....... every case won against them contributes to building evidence for upcoming cases. In this case, Goldman didn't get to plead nolo - they had to admit their wrongdoing. So the next guys who want to sue them can go after them for the same reason.

    We can live in hope. I would love to see the execs of Goldman Sachs perp walked down Wall Street.

    ReplyDelete
  2. Wolfbitch, that would be nice, but hippopotamuses will dance The Nutcracker before the banksters are perp-walked.

    ReplyDelete
  3. The quote from the Wall Street insider who talked to Matt Taibibi -- "Everything's fucked up and nobody goes to jail" -- summarizes it to a nutshell. Unless there are perp walks, these jerks will keep breaking the law. But there are no perp walks.

    WASF.

    - Badtux the Waddling Penguin

    ReplyDelete

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