FX.co ★ Goldman Sachs to face criminal prosecution for role in financial crisis

Goldman Sachs received a subpoena by New York prosecutor Eric Schneiderman with a demand to explain its policy concerning the selling of high-risk mortgage-linked securities, BBC News announces.
In April the U.S. Senate released a report accused New York- based Goldman Sachs of misleading buyers of mortgage-linked investments, hiding the information about their risk level. Therefore, the bank provided the least reliable securities to investors.
The investment bank admitted that it did not provide full information on financial products. It expressed its willingness to help the investigation. However, it did not plead guilty to any charges.
Earlier it was announced that in May 17 Schneiderman opened a case on investment banks selling mortgage securities during crisis. The prosecutor said he was going to interrogate heads of the three biggest US banks - Bank of America, Goldman Sachs and Morgan Stanley.
The investigation of the activity of Goldman Sachs and other major financial companies in the USA since the middle of 2010 has also been under control of the US Department of Justice and Securities and Exchange commission (SEC).
Goldman Sachs is world’s one of the biggest investment banks in the world. Last year its profit amounted to $39.2 bln and its assets were worth $911.3 bln.