If Goldman reminds you just now of that exhibit at the zoo with all the dark red lights, like the school darkroom but with signs that read "No Flash Photography - Nocturnal Exhibit," you aren't alone. For a firm that desperately wants to slide back into the warm cape of the dim, Goldman is getting a lot of attention (even with respect to Goldman memos about how Goldman is getting too much attention). And now, this:
In its latest quarterly filing with the Securities and Exchange Commission, the firm offered lots of additional details about its hugely profitable second quarter. But deep into the filing, the investment bank also disclosed two government inquiries that weren't mentioned in previous filings -- one regarding its pay practices, and the other involving credit derivatives.
Goldman has been facing heavy scrutiny lately, especially after it reported billions of dollars in income in the second quarter and set aside more than $11 billion for employee compensation, all during a quarter when it paid back aid it received from the federal government.
The scrutiny appears to be growing.
You noticed, eh?
The reality is that it will be a long time before Goldman can comfortably slip back into the shadows- if ever. In the meantime, a dark pair of shades is probably called for. Just sit back and bask in the sunshine for a bit. It's going to be a long day.
Goldman Faces Inquiries on Pay and Derivatives [Dealbook]