Goldman: Pwned?

[Magda Hassan]

“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,” Facciponti said, according to a recording of the hearing made public today.

Now, GS knows how to use this programme. But they would neeeeeeveeeeeeer manipulate the market in unfair ways would they? Being a force for good and all? Nah. Good.

Sergey quit a firm described as "Financial Institution" in the affidavit, which according to circumstantial evidence and according to Goldstein is none other than Goldman Sachs, on June 5, at that time earning $400,000 annually. As Goldstein reports, he proceeded to move to a Chicago firm engaged in "high volume automated trading" where he would make 3x his $400k salary.

Well, they should have looked after their employees better. He probably invented the thing in the first place and and they wouldn't give him a cut.

What is probably most notable, in less than a month since Sergey's departure from [Goldman?], the FBI was summoned to task and the alleged saboteur was arrested and promptly gagged: if anyone is amazed by the unprecedented speed of this investigative process, you are not alone. If only the FBI were to tackle cases of national security and loss of life with the same speed and precision as they confront presumed high-frequency program trading industrial espionage cases... especially those that allegedly involve Goldman Sachs.

I would say the FBI acted in this case unseemly fast. The writer does have a point here.

So now is the question in the air is, has Goldman Sachs lost it's secret computer program, its code? Is the curtain being pulled back to reveal the inner workings of Goldman Sachs or will this all conveniently disappear ?

Yep. Like those US treasury bonds being smuggled by the Japanese into Switzerland via Italy. Gone. It never was.