Gold Anti Trust Action Committee Urges SEC, CFTC To Probe Goldman Trading Program

[Joanne98]

And so it develops. From the GATA press release:



Dear Friend of GATA and Gold:

GATA today urged the U.S. Securities and Exchange Commission and the U.S. Commodity Futures Trading Commission to investigate the Goldman Sachs Group Inc. computer trading program that, according to a federal prosecutor, the bank acknowledges can be used to manipulate markets.

GATA's complaint referred to the Bloomberg News story dispatched to you yesterday --

http://www.bloomberg.com/apps/news?pid=20601087&sid=a_6d.tyNe1KQ)

-- reporting the arraignment in U.S. District Court in New York of a former Goldman Sachs employee accused of stealing the program. The prosecutor, Assistant U.S. Attorney Joseph Facciponti, was quoted as telling the court: "The bank has raised the possibility that there is a danger that somebody who knew how to use this program could use it to manipulate markets in unfair ways."

In letters to the SEC and CFTC, GATA wrote: "The assistant U.S. attorney's comment can be construed to suggest Goldman Sachs considers its own manipulation of markets to be fair, while such manipulation by others would be unfair. The court proceeding described in the Bloomberg News story would seem to impugn all markets in which Goldman Sachs trades."

GATA asked each commission "to investigate Goldman Sachs' trading program urgently and report its findings publicly."

The text of GATA's letters is appended.

CHRIS POWELL, Secretary/Treasurer Gold Anti-Trust Action Committee Inc.

* * *

GOLD ANTI-TRUST ACTION COMMITTEE INC. 7 Villa Louisa Road, Manchester, Connecticut 06043-7541

July 7, 2009

Gary Gensler, Chairman U.S. Commodity Futures Trading Commission 3 Lafayette Centre 1155 21st St., N.W. Washington, D.C. 20581

Mary L. Schapiro, Chairman U.S. Securities and Exchange Commission 100 F St. N.E. Washington, D.C. 20549

Dear Chairman Gensler / Dear Chairman Schapiro:

I'm enclosing a copy of a report distributed July 6 by Bloomberg News Service about the U.S. government's prosecution of a former employee of Goldman Sachs Group Inc. involving the purported theft of a Goldman Sachs computer trading program. The report quotes Assistant U.S. Attorney Joseph Faccipointi as saying in U.S. District Court in New York City: "The bank has raised the possibility that there is a danger that somebody who knew how to use this program could use it to manipulate markets in unfair ways."

If the report quotes the assistant U.S. attorney correctly, and if he was characterizing Goldman Sachs' position correctly, then Goldman Sachs claims to have possession of a computer trading program that can manipulate markets. The assistant U.S. attorney's comment can be construed to suggest Goldman Sachs considers its own manipulation of markets to be fair, while such manipulation by others would be unfair.

The court proceeding described in the Bloomberg News story would seem to impugn all markets in which Goldman Sachs trades. On behalf of the Gold Anti-Trust Action Committee Inc., I ask your commission to investigate Goldman Sachs' trading program urgently and report its findings publicly.

Thanks for your consideration.

With good wishes.

CHRIS POWELL Secretary/Treasurer



Hat Tip: Jeff



http://www.zerohedge.com/article/gold-anti-trust-action-committee-urges-sec-cftc-probe-goldman-trading-program

[natrat]

1. let's see,,,,steal 14 trillion$ and give most of it to goldman to "manage"

no wonder they dont want their program trading made public
sadly this will go nowhere, and indeed the government will facilitate even easier scams for goldman