Claim That Goldman Probes Are Politically Motivated
A top Asian fund manager said on Wednesday the civil fraud allegations
against massive Wall Street bank Goldman Sachs was a smokescreen
to divert attention from the financial crisis in the United States.
being investigated for fraud by the Securities and Exchange Commission
and Britains market watchdog.
It has also
been learned that banks here in Asia are using the US banks
woes to get an edge on multimillion-dollar fee-paying deals in the
who runs Hong Kong-based fund manager Marc Faber, described the
lawsuit against Goldman Sachs as a hunt for scapegoats amid economic
problems faced by the US.
now is Goldman Sachs. You distract the masses with a villain,
he said at the Asian Public Real Estate Association Forum in Singapore.
Goldmans leading role on Wall Street, coupled with massive
paychecks to staff and bumper profits, make it an obvious target,
in Asia were seizing on Goldmans problems to try and elbow
in front of the bank on major upcoming deals, sources familiar with
the matter said.
bankers have been lobbying executives at state-owned Agricultural
Bank of China and pushing officials in Beijing to drop Goldman as
an underwriter for the banks more than $20 billion IPO.
also asking officials at state-controlled Bank of Communications
to ditch Goldman from its joint global coordinator role in the Chinese
banks $6.1 billion rights issue, the sources said, though
there was no evidence either bank was considering pushing Goldman
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© 2010 Jakarta Globe