Goldman Sachs, the investment firm that admitted to selling "shitty deals" to its customers and then betting against those same deals for profit, will not be facing any criminal charges, the U.S. Justice Department announced today.
The Wall Street Journal reports:
In a statement, the Justice Department said "the burden of proof" couldn't be met to prosecute Goldman criminally based on claims made in an extensive report prepared by a U.S. Senate panel that investigated the financial crisis.
"Based on the law and evidence as they exist at this time, there is not a viable basis to bring a criminal prosecution with respect to Goldman Sachs or its employees in regard to the allegations set forth in the report," the statement read.
Sen. Carl Levin, D., Mich., chairman of the Senate's subcommittee, said Goldman executives lied to Congress about the firm's bets against the housing market. The accusation triggered a Justice Department probe of possible perjury.
A spokeswoman for Mr. Levin's office didn't respond to a request for comment Thursday.
The report concluded that even as securities firms flooded the market with securitized mortgages and advised clients to buy them, firms privately used words like "crap" and "flying pig" to describe the financial instruments.
In the statement Thursday, the Justice Department said prosecuting financial fraud and "protecting the integrity of our banking system" is and will continue to be the department's "top priority."