It's extraordinary that banks which were bailed out by US taxpayers are now screaming about excessive rules. They wanted aid, with no strings attached.
The Financial Times reports that Gary Cohn, Goldman's most senior executive after chairman and chief executive Lloyd Blankfein, has told the Davos business love-fest that more regulation will create a new crisis by pushing speculative activity over towards hedge funds. "In the next few years, the unregulated sector will grow at an exponential rate," he said. "Risk is risk. My concern is that … risk will move from the regulated, more transparent banking sector to a less regulated, more opaque sector."
He was joined by Vikram Pandit, the CEO of Citigroup which also received billions of dollars in taxpayer money.
Goldman Sachs is absolutely shameless in its self interest. Cohn's comments coincide with reports that Goldman Sachs received $2.9 billion from American International Group (AIG) as part of a payout for a speculative trade. That money was provided by American taxpayers who had bailed out AIG.
The disgusting part is it shows how Goldman Sachs, the most profitable of US investment banks, made billions out of the US government bailout. And that deal was on the watch of then-Treasury Secretary Henry Paulson who, surprise surprise, had previously headed Goldman Sachs.
They will take money from the US government, they don't want its rules. Such is the moral bankruptcy of the US banks.
no comment untill now