Politics & Government

November 1, 2009 12:00 AM

How Goldman secretly bet on the U.S. housing crash

In 2006 and 2007, Goldman Sachs Group peddled more than $40 billion in securities backed by at least 200,000 risky home mortgages, but never told the buyers that it also was secretly betting that a sharp drop in U.S. housing prices would send the value of those securities plummeting. Now, a five-month McClatchy investigation has found that Goldman's failure to disclose those secret bets may have violated securities laws.

Related content

Comments

Videos

More Videos

Obama lays a wreath at Hiroshima Peace Memorial Park 02:18

Obama lays a wreath at Hiroshima Peace Memorial Park

President Obama thanks military members in Hiroshima, Japan 07:43

President Obama thanks military members in Hiroshima, Japan

Visitors pay respects at Vietnam Veterans Memorial 01:15

Visitors pay respects at Vietnam Veterans Memorial

Americans agree, it's time for Obama to visit Hiroshima 02:27

Americans agree, it's time for Obama to visit Hiroshima

A look back at Obama’s visit to Vietnam 01:58

A look back at Obama’s visit to Vietnam

President Obama lands in Vietnam 00:52

President Obama lands in Vietnam

Democrats yell "shame" on the floor of the House of Representatives 02:00

Democrats yell "shame" on the floor of the House of Representatives

Trump to Christie: 'You're not eating Oreos anymore' 00:19

Trump to Christie: 'You're not eating Oreos anymore'

Defense bill approved by House is "strong," says Speaker Ryan 01:43

Defense bill approved by House is "strong," says Speaker Ryan

Obama's advice for Rutgers graduates: 'Have faith in democracy' 01:20

Obama's advice for Rutgers graduates: 'Have faith in democracy'

'The dance Force' is strong with the Obamas 00:23

'The dance Force' is strong with the Obamas

Share Video

Politics & Government Videos