Big Fine
If Goldman Sachs settles fraud charges relating to 1MNB, it is possible it will pay $2 billion as a fine. That’s a huge amount even for the legendary trading and banking house. It, however, will not win the Wall Street firm’s reputation back. The fine will serve as a reminder for Goldman and competitors that there are limits in the world of finance. Unfortunately, greed will out eventually, and someone else will attempt to get away with chicanery. They might succeed or they might be caught, but they will have forgotten the penalty. Goldman will remember because the size of the fine will impact its bottom line and bonuses for employees. That doesn’t mean, however, that someone else will find new and creative ways to bilk the public.
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