Goldman’s $550 Million Fine: Slap on Wrist?

By David Schoetz

Jul 15, 2010 11:52pm

Goldman Sachs today agreed to pay $550 million to settle federal claims that it misled investors about the subprime housing market. If approved by a judge, it would be the largest settlement in SEC history. But critics call it a drop in the bucket for a banking giant that reported more than $13 billion in profits last year. In fact, news of the settlement pushed Goldman shares up 5 percent — adding more to the value of the firm than the settlement amount. So tonight, we ask: Is this record settlement enough? Or did Goldman — and boss Lloyd Blankfein, pictured above — get off easy? Tell us what you think. Embedded is a previous "Nightline" report about the banking giant.

You are using an outdated version of Internet Explorer. Please click here to upgrade your browser in order to comment.
blog comments powered by Disqus