Ten Things You Don’t Know About the Goldman Sachs Case

Barry Ritholtz is very confident that Goldman Sachs is either going to lose or settle and wants to educate interested non-lawyer observers1 about certain assumptions being promulgated that are not accurate.

Wheels grind exceedingly fine

8. The case looks thin: What we see in the complaint is the bare minimum the prosecutor has to reveal to make their case. What you don’t see are all the emails, depositions, interrogations, phone taps, etc. that the prosecutors know about and GS does not. During the litigation discovery process, this material slowly gets turned over (some is held back if there are other pending investigations into GS).

Going back to who the prosecutor in this case is: His legal reputation is he is very thorough, very precise, meticulous litigator. If he decided to recommend bringing a case against the biggest baddest investment house on Wall Street bank, I assure you he has a major arsenal of additional evidence you don’t know about. Yet.

Typically, at a certain point the lawyers will tell their client that the evidence is overwhelming and advise settling. That is around 6-12 months after the suit has begun.

9. This case is Political: I keep hearing that phrase, due to the SEC party vote. It is incorrect. What that means is the case is not political, it means it has been politicized as a defense tactic. There is a huge difference between the two.

[Click to continue reading 10 Things You Don’t Know (or were misinformed) About the GS Case | The Big Picture]

Hope Goldman loses their shirt, and pants on this and subsequent cases.

  1. or whatever you would call folks like me, and you []

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