(CNN) – Michigan Sen. Carl Levin, Democratic chairman of the Senate subcommittee on Permanent Investigations, did not censor himself Tuesday as he repeatedly quoted from an e-mail in which a Goldman Sach's executive referred to a mortgage deal as "shi**y."
Thomas Montag, Goldman's former head of sales and trading, described a series of mortgage-backed investments the investment bank was selling to clients as "one shi**y deal" in the email to colleagues.
Levin repeatedly quoted the curse word - close to a dozen times - when questioning Daniel Sparks, former head of Goldman's mortgage department, who allegedly urged his group to make the deals. Levin's line of questioning was carried live by CNBC.
The committee is examining Goldman's role in the financial crisis last year and allegations it sold mortgage-backed securities to clients that the firm later bet against.
[cnn-photo-caption image= http://i2.cdn.turner.com/cnn/2010/images/04/20/art.sachs.gi.jpg caption="Goldman Sachs CEO Lloyd Blankfein will testify Tuesday that his firm didn't mislead investors and didn't bet against the housing market."]NEW YORK (CNNMoney.com) - Goldman Sachs CEO Lloyd Blankfein will testify Tuesday that his firm didn't mislead investors and didn't bet against the housing market, according to his opening remarks released Monday.
"We didn't have a massive short against the housing market and we certainly did not bet against our clients," Blankfein said in remarks prepared for Tuesday's testimony, which he will give before the Permanent Senate Subcommittee on Investigations.
Goldman Sachs (GS, Fortune 500) is accused by the Securities and Exchange Commission of failing to tell investors that hedge fund Paulson & Co. helped select securities for a portfolio that it was also betting against.
[cnn-photo-caption image= http://i2.cdn.turner.com/cnn/2010/images/04/20/art.sachs.gi.jpg caption="Goldman Sachs officials knew their bets against mortgages profited the firm, according to Senate documents."] NEW YORK (CNNMoney.com) - Goldman Sachs officials knew their bets against mortgages, whose dramatic decline sparked the financial crisis, profited the firm, according to documents released Saturday by a Senate panel investigating the crisis.
"Of course we didn't dodge the mortgage mess," Goldman CEO Lloyd Blankfein told company executives in an e-mail dated Nov. 18, 2007. "We lost money, then made more than we lost because of shorts," or trading bets aimed at profiting when a bond drops in value.
Blankfein added: "Also, it's not over, so we don't know how it will turn out ultimately."
Washington-(CNN) Senator Blanche Lincoln, D-Arkansas, has cancelled a New York fundraiser that had been works for Monday with Goldman Sachs executives, and is now vowing not to take any more campaign cash from the embattled Wall Street giant.
“In light of the S.E.C. lawsuit against Goldman Sachs, Senator Lincoln will schedule no future campaign-related events with the firm and will accept no further contributions from the firm's Political Action Committee or its employees,” said Katie Laning Niebaum, a spokeswoman for Lincoln’s Senate re-election campaign.
However, Lincoln still has no plans to give back campaign money she has already raised from Goldman Sachs. FULL POST
Washington (CNN) - Republicans have questioned in recent days whether the White House and the Democratic National Committee coordinated with the Securities and Exchange Commission to get political mileage out of the SEC's fraud charges against Goldman Sachs.
President Obama, the DNC and even the SEC have adamantly denied the accusation of political collusion. And now Google is, too.
The GOP case is based partly on the fact that the DNC used Google Adwords to bid on the search terms "Goldman Sachs" and "SEC" soon after the charges were filed on Friday - meaning that whenever a person searched Google for those terms, they also viewed targeted ads for a DNC website about "Wall Street greed."
Rep. Darrell Issa, R-California, the ranking member of House Oversight and Government Reform Committee, sent a letter to the chairman of the SEC on Tuesday pointing out the timing of the ad buy, which he said "neatly coincided" with the Goldman charges.
Google is now saying that's not the case.
[cnn-photo-caption image= http://i2.cdn.turner.com/cnn/2010/images/04/20/art.sachs.gi.jpg caption="Goldman Sachs, Wall Street's top investment bank, was a generous contributor to Obama's presidential campaign."] Washington (CNN) - Goldman Sachs, the embattled Wall Street investment bank defending itself from civil fraud charges brought by the Securities and Exchange Commission, has been an active donor to political candidates and parties in the past 20 years and was a top contributor to the 2008 presidential campaign of then-Sen. Barack Obama.
According to Federal Election Commission figures compiled by the Center for Responsive Politics, Goldman Sachs' political action committee and individual contributors who listed the company as their employer donated $994,795 during 2007 and 2008 to Obama's presidential campaign, the second highest contribution from a company PAC and company employees. Only the PAC and employees of the University of California, which donated more than $1.5 million, topped Goldman Sachs. Federal law prohibits a company from directly giving money to a campaign committee.
Goldman Sachs contributions to the Obama campaign were more than four times larger than the $230,095 in donations to Sen. John McCain's presidential campaign.
Since 1990, Goldman Sachs' PAC and employees have consistently contributed more money to Democratic rather than Republican candidates for federal office. In the 2008 election, three out of every four dollars contributed by Goldman Sachs went to Democrats.
FEC reports also indicate that Goldman Sachs has contributed generously to Senate Banking Committee and House Financial Services Committee members in the last 15 months. The two panels are responsible for oversight of the industry.
In addition to the SEC lawsuit, the company, along with the rest of the financial services sector, faces an aggressive Democratic-led campaign to impose new rules on banks.
Updated 5:20 p.m.