Goldman Sachs Probed

Damn... Not A Procto

Powerful Wall Street bank Goldman Sachs is facing a criminal investigation. About time? Federal prosecutors have been looking into charges against the bank for some time. Only the news is new.

Audio: NPR's Morning Edition 4/30/10.

On Friday, the Wall Street Journal's Paul Gigot provided an insight into why the SEC's initial action was a civil suit rather than criminal charges... It's a corporate death sentence. In history, no major Wall Street firm has ever survived a criminal indictment. They get wiped out by the mere fact of formal charges, let alone a conviction.

It's all about confidence.



Business Week has excerpted Roger Lowenstein's book: "The End of Wall Street" and Gloria McDonough-Taub of CNBC offer a brief review and video of his appearance on the channel.