11:57 GMT +327 October 2016
    Democratic presidential candidate Sen. Bernie Sanders

    Bernie Sanders: Goldman Sachs $5Bn Fine Proves US Financial System Is Fraud

    © AP Photo/ Carolyn Kaster
    Get short URL

    Bernie Sanders said that the $5 billion fine imposed this week on the giant investment bank Goldman Sachs proves that the US financial system centered on Wall Street is based on fraud.

    WASHINGTON (Sputnik) — The $5 billion fine imposed this week on the giant investment bank Goldman Sachs proves that the US financial system centered on Wall Street is based on fraud, Democratic presidential candidate and Senator Bernie Sanders said in a press release.

    "The $5 billion settlement with Goldman Sachs should make it clear to everyone that the business model on Wall Street is fraud," Sanders stated on Friday. "[T]he time has come to shut the revolving door between Wall Street and the federal government."

    On Thursday, Goldman Sachs agreed on a deal with the US government to pay a $5 billion fine for bogus marketing schemes on home mortgages during the financial crisis seven years ago.

    Sanders stated Goldman Sachs and other Wall Street banks will not be represented in his administration if he wins the US presidency.

    "Instead, we need federal prosecutors and regulators with a clear track record of standing up to the greed, recklessness and illegal behavior on Wall Street," he said.

    Sanders noted that in 1995, Goldman Sachs former co-chairman Robert Rubin became US Treasury Secretary and in 2006, Goldman Sachs Chairman Henry Paulson became Treasury Secretary. Moreover, Paulson convinced Congress in 2008 to pass legislation giving him $700 billion to bailout Wall Street.

    The Vermont senator has pledged to break up the biggest US banks and restore the 1933 Glass-Steagall Act, which separates the functions of savings banks and investment banks.

    Sanders’ plan is backed by 170 economists, including former Labor Secretary Robert Reich and Professor James Galbraith.


    Corporate America Might See Earnings Fall on Goldman Mortgage Settlement
    US Securities Commission Fines Goldman Sachs $15Mln Over Borrowed Stock
    Goldman Recommends Investors to Buy Rubles in 2016
    fraud, Goldman Sachs, Bernie Sanders, United States
    Community standardsDiscussion
    Comment via FacebookComment via Sputnik
    • Сomment

    All comments

    • The Big Short isn't that bad. These bankers should be locked up and their firms dissolved.
    • jas
      Bernie Sanders has to know better. Congress wasn't convinced of anything, it's just fascist. Phone calls were running 9 to 1 against that bailout and they did it anyway.
    • art
      //Sanders stated Goldman Sachs and other Wall Street banks will not be represented in his administration ..//
      ..because HE is their represetative.
    • anne00marie
      Soros, who financially backed Obama and has given $million to old ma Clinton is also financing this psychotic moron. Just look at the picture and body language?
    • anne00mariein reply toart(Show commentHide comment)
      art, So bloo*y true. Soros alien, backing him, spending $millions on the Clintons and of course the same Soros who financed Obama's Presidential campaign. Bernie - look at the body language, and pure Soros Disciple.
    • artin reply toanne00marie(Show commentHide comment)
      anne00marie, he is the man who shot Ron Paul's bill on auditing Federal Reserve Bank down in flame. Watch how he treats Americans when it comes to Israel.
    • Ivan Zadorozhny
      When fraud is institutionalized, is it fraud?
    • cavedeborah
      Bernie Sanders & Elizabeth Warren 2016 President and VP, take back the country! The banks are out of control, these people are worse than street thugs, and how is it fair that laws can lock up people for thefts and shopliftings, etc. when the bankers get away with astronomical crimes of finances!
    Show new comments (0)

    Top stories