AIG's 10(b) 5 Fraud, And Goldman's CDO Collateral Calls

By: Tyler Durden Thursday, June 25, 2009 3:52 PM

Symbols: AIG, GS

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Not surprisingly, Goldman dominates the list in terms of both CDO exposure and collateral demands, with $23 billion of negative basis CDOs which according to Goldman resulting a collateral post of $3 billion.

hat tip Thomas

What supports a case of 10(b) 5 violation are some of the exchanges in the ensuing December 5th, 2007 conference call (posted below in its entirety).

Probably one of the most notable utterances is that of Joseph Cassano himself, who somehow is still not facing major criminal securities fraud charges against him:

And we have from time to time gotten collateral calls from people and then we say to them, well we don't agree with your numbers. And they go, oh, and they go away. And you say well what was that? It's like a drive by in a way. And the other times they sat down with us, and none of this is hostile or anything, it's all very cordial, and we sit down and we try and find the middle ground and compare where we are.

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