4/20/2010

The U.S. Securities and Exchange Commission announced its lawsuit against Goldman Sachs the same day the agency's inspector general released a report that criticizes the agency. The 151-page report by Inspector General David Kotz lays out in meticulous detail how the SEC ignored mounting evidence of a Ponzi scheme run allegedly by R. Allen Stanford. According to the report, SEC enforcement official Spencer Barasch failed to act on reports of the $8 billion scheme, then left the agency to do legal work for Stanford.

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