The Real Deal Miami

Criminal probe the latest of Goldman’s woes

April 30, 2010 10:50AM

The Manhattan U.S. Attorney’s office has launched a criminal probe into whether Goldman Sachs or its employees committed securities fraud during mortgage trading, sources told the Wall Street Journal. The news comes two weeks after the Securities and Exchange Commission filed a civil securities fraud suit against the Wall Street powerhouse and one of its traders over negative bets against the housing market.The SEC suit spurred the new criminal investigation, though it was not clear which deals are part of the probe. Prosecutors have not yet determined whether charges will be filed. [WSJ]