Posted by: Rick | Tuesday, April 27, 2010

Sympathy For The Devil

If you’ve watched any of today’s excellent Senate hearing on the crime wave at Goldman Sachs, you know that Lloyd Blankfein’s boys are completely unfamiliar with the concept of “conflict of interest”.  As long as they’re making money, all is right with the world.

Yet many Wall Streeters still insist that Goldman is being unfairly picked on:

“I think that the disclosure around one transaction being the justification to vilify Goldman Sachs or to pass regulatory reform is just incredible,” [Kenneth] Griffin said. “I think the Goldman Sachs case has clearly energized the Democrats with respect to passing the regulatory reform.”

Marc Lasry, the founder of Avenue Capital, said of the mood in Washington, “Everything is 20/20 hindsight — you shouldn’t have done this, you shouldn’t have done that.”

“The government is going for the jugular,” Meredith Whitney, a Wall Street research analyst who spotted the subprime bubble early, said between panels.  “Sadly,” she said of Goldman’s reputation, “the damage is already done.”  She added that, while Goldman is now being singled out, “everyone was in the same soup.” [Emphasis added]

Pardon me if I shed no tears for Goldman Sachs.  As John F. Kennedy famously said, “Life is unfair.” 

A lot of people drive drunk.  Not everybody gets caught.  If you do get caught, tough shit.  Clean up your act and take comfort in the knowledge that your arrest will be a deterrent for others.



  1. Few people realize that Goldman Sachs and cohorts have its roots in the greed-centered religion fostered back in the 50s and 60s by novelist Ayn Rand of “Atlas Shrugged” fame.

    • You are correct, sir. None other than Alan Greenspan himself sat at Rand’s feet in the early fifties — quite literally.

      No wonder the system melted down.

  2. Sure, Rand wrote about self-interest but she also wrote about self-reliance as well. I don’t think Rand would have approved of or supported the way government or Sachs handled this one.


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