Link here. Extract:
It is infuriating that is completely legal.
Who is surprised by this, really?
For Paulson it is. I imagine if the managers acted on the information they’d be guilty of insider trading.
In the world of corporate and government financial perfidy, i’m actually not sure what it would take to surprise me these days.
If it were disclosed that Goldman Sachs was paying Kim Jong Il to kill North Koreans and ship their bodies to America, and that GS was then selling the parts to American hospitals for use in organ transplants, and that the Fed and the FDA had signed off on the transaction, i might raise an eyebrow.
Other than that, though, there’s almost no level of self-interest and venality from these people that would surprise me.
Who’s got a rope?
Four ropes, and four horses.
Why waste a good rope ? Eviscerate them and hang them with their own bowels.
Also known as doing his job.
Note that this is based on one anonymous source, and there’s at least one other source who seems to say that it didn’t happen.
It’s an ironic strategy, if in fact it did happen. By telling those people, Paulson in theory ensured that none of them could dump their shares in Fannie and Freddie without risking prosecution.