Stepping up the pressure on Goldman Sachs just days after its executives were grilled and publicly rebuked by lawmakers, the Justice Department has opened a criminal investigation of the Wall Street powerhouse over mortgage securities deals it arranged. The investigation by the U.S. Attorney's Office in Manhattan stems from a criminal referral by the Securities and Exchange Commission, said a knowledgeable person who spoke on condition of anonymity because the inquiry is in a preliminary phase.
Justice Department Opens Criminal Probe of Goldman
The Associated Press
April 30, 2010