FBN’s Charlie Gasparino reports that attorneys for Goldman Sachs (GS) have intensified efforts to settle civil fraud charges with Securities and Exchange Commission [SEC] over whether the firm misled investors when it sold them a pool of collateralized debt obligations during the early stages of the financial crisis.
According to Gasparino’s sources, Goldman “is pressuring the SEC to move forward with a settlement deal. The SEC, these [sources] say, had been initially hesitant to the settle the case, which has hurt Goldman’s share price. But in recent days settlement talks have picked up on both sides, these people add.”
Gasparino also said that the SEC decided not to officially “serve” Goldman the complaint, a move some legal experts consider it to be a sign of willingness by the SEC to settle the case as well.
FBN: “By not officially serving Goldman, the SEC has given the firm an additional 60 days (instead of 30) to file either a motion to dismiss or answer the complaint with its defense of the charges… That additional time, some legal experts say, will allow both sides to work out a settlement.”
