Goldman CEO facing Congress

[centsgirl]

CEO of Goldman Sachs and other of its executives from the Wall Street powerhouse are coming before Congress 10 days after the government accused the firm of fraud. The Senate panel hearing the testimony on Tuesday alleges that Goldman used a strategy that allowed it to profit from the housing meltdown and reap billions at the expense of clients.

Goldman executives misled the investors in complex mortgage securities that turned toxic, investigators for the Senate subcommittee said. They point to a trove of some 2 million e-mails and other Goldman documents obtained in an 18-month investigation. Excerpts from the documents were released Monday, a day before the hearing bringing CEO Lloyd Blankfein and the others before the Senate Permanent Subcommittee on Investigations.

Blankfein says in his prepared testimony that Goldman did not bet against its clients and can not survive without the trust of them.