Gothamist
A non-profit newsroom, powered by WNYC.
Gothamist
Listen Live
News
Feds Open Criminal Investigation Of Goldman Sachs
By
Jen Chung
Published Apr 30, 2010
Modified Apr 30, 2010
Share
FacebookTwitterRedditEmail
Never miss a story
Email address
By submitting your information, you're agreeing to receive communications from New York Public Radio in accordance with our Terms .
By
Jen Chung
Published Apr 30, 2010
Modified Apr 30, 2010
Share
FacebookTwitterRedditEmail
We rely on your support to make local news available to all
Make your contribution now and help Gothamist thrive in 2026. Donate today
Gothamist is funded by sponsors and member donations
Everyone's favorite target these days is now under criminal investigation. Federal prosecutors are now looking to whether Goldman Sachs' employees in mortgage trading operation committed securities fraud. The investigation apparently stems from the SEC's civil fraud lawsuit against Goldman regarding mortgage trading. The Wall Street Journal reports it's unclear whether charges will be brought, adding, "Many criminal investigations are launched that never result in any charges."
According to the NY Times, "Federal prosecutors would face a higher bar in bringing a criminal case against Goldman, whose role in the mortgage market came under sharp scrutiny this week during a marathon hearing in the Senate. In contrast to civil cases, the burden of proof is higher in criminal ones, where prosecutors must prove their case beyond a reasonable doubt." The Times points to how the U.S. Attorney's office lost the fraud suit against Bear Stearns hedge fund managers.
A lawyer told Bloomberg News that a criminal case against Goldman could be difficult, since it's "highly complex." Douglas Jensen, a former federal prosecutor, said, "In order to proceed criminally in a case, you need to have very clear evidence of lying, cheating and stealing."
Goldman Sachs' spokesman said it "would fully cooperate with any requests for information. Given the recent focus on the firm, we’re not surprised by the report of an inquiry."
Tagged
criminal investigation
economy
federal prosecutors
fraud
goldman sachs
mortgage
mortgage trading
SEC
us attorney's office
Jen Chung
Jen Chung is a former WNYC and Gothamist editor.
Read more
Gothamist is funded by sponsors and member donations
Gothamist is funded by sponsors and member donations
MORE news
Man shot by ICE in NYC still has bullet lodged in neck, attorneys say
Oscar Belgal, a 28-year-old immigrant from the Dominican Republic, was in solitary confinement at the Metropolitan Detention Center in Sunset Park on Monday.
By
Liam Quigley
Published Oct 12, 2026 at 11:37 a.m. ET
NY measles spread prompts 'disaster' emergency. It didn't have to be this way, health commissioner says.
The state health commissioner says the disease outbreak is wholly preventable.
By
Elizabeth Shwe
News
NY measles spread prompts 'disaster' emergency. It didn't have to be this way, health commissioner says.
The state health commissioner says the disease outbreak is wholly preventable.
By
Elizabeth Shwe
NYC wants to move deliveries onto the waterways. It's starting with a 55-year-old boat.
By
Liam Quigley
Inside the luxury Greenpoint high-rise powered by a rumbling generator for over a month
By
David Brand
Mayor Mamdani orders review of NYPD use of force policies
By
Michael Sol Warren
Never miss a story
Catch up on the most important headlines with a roundup of essential NYC stories, delivered to your inbox daily.
Sign upEmail address
By submitting your information, you're agreeing to receive communications from New York Public Radio in accordance with our Terms .