Tuesday, 23 September 2014
Last updated 9 hours ago
Jun 19 2012 | 2:03pm ET
A year after getting a judge's approval to continue its case against a Goldman Sachs executive accused of defrauding investors in a Paulson & Co.-linked collateralized debt obligation, the Securities and Exchange Commission is looking for more.
The regulator is looking to have one count tossed by U.S. District Judge Barbara Jones last June reinstated. Jones threw out the aiding and abetting fraud claim against Fabrice Tourre, ruling that a 2010 U.S. Supreme Court ruling denying U.S. legal protection to foreign investors who buy securities abroad barred it. But the SEC said last week that a recent appeals court ruling employed a narrower "test" than Jones used in her ruling last year.
According to the SEC, Tourre, the only individual accused in the CDO case that cost Goldman a $550 million settlement two years ago, and Goldman defrauded investors in the $1 billion ABACUS-AC-1 CDO. The SEC complaint alleges that Tourre "knowingly, recklessly or negligently" misrepresented the CDO, which the SEC says was structured and marketed on behalf of Paulson, a fact that the regulator said was withheld from investors.
Paulson has not been accused of any wrongdoing in regard to the CDO.
Sep 22 2014 | 4:15pm ET
"I tell people that everybody likes good news and so if you have good performance that’s wonderful,” explains Mike McKitich, CIO of Petty Endowment, “but it’s the people that want to talk about the bad news or where they drifted and how they came back and how they stayed to their discipline…” that he wants to hear from. Read more…
Aug 25 2014 | 11:21am ET
As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…
Credit default swaps brought down the London Whale and cost JPMorgan $6.2 billion. Here is how it happened.