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

British royal family, Obamas trash talk ahead of Invictus Games 00:40

British royal family, Obamas trash talk ahead of Invictus Games

Actress Allison Janney surprises reporters at White House press briefing 02:49

Actress Allison Janney surprises reporters at White House press briefing

Senators McCain, Roberts have heated exchange over Obama’s Army nominee 02:32

Senators McCain, Roberts have heated exchange over Obama’s Army nominee

Bald eagle parents feed a cat to their babies 01:41

Bald eagle parents feed a cat to their babies

John Boehner calls Ted Cruz ‘Lucifer in the flesh’ 00:45

John Boehner calls Ted Cruz ‘Lucifer in the flesh’

Funniest presidents of the last 25 White House Correspondents' Dinners 02:24

Funniest presidents of the last 25 White House Correspondents' Dinners

Gov. Nikki Haley: Keep Gitmo detainees out of South Carolina 07:48

Gov. Nikki Haley: Keep Gitmo detainees out of South Carolina

Team USA counts down to Summer Olympics in Rio 01:40

Team USA counts down to Summer Olympics in Rio

Harnessing the power of water to turn it into electricity 03:51

Harnessing the power of water to turn it into electricity

Ted Cruz announces that Carly Fiorina as running mate 02:31

Ted Cruz announces that Carly Fiorina as running mate

Will Carly Fiorina help Ted Cruz win the Republican nomination? 01:30

Will Carly Fiorina help Ted Cruz win the Republican nomination?

S.C. Chamber of Commerce D.C. Fly-In 01:08

S.C. Chamber of Commerce D.C. Fly-In

Share Video

Politics & Government Videos