Charlie Rose: Michael Lewis, David Boies and Andrew Ross Sorkin on the Goldman Sachs Allegations

CHARLIE ROSE: Goldman also says it’s wrong in law and in fact. Where’s it wrong in law?

DAVID BOIES: Well, I think what they mean — I think what they mean is based on the facts that are in there, it’s not an illegal conduct.

The issue is whether there are more facts that would bring it under conventional law. As Michael says, this is an unusual case. This is the first time you’ve seen a case like this. I happen to think it’s no coincidence it comes out just at the time that the administration is going after the financial regulatory reform in Congress.

CHARLIE ROSE: Wait. You think the administration had some influence with the SEC in terms of bringing this complaint now?

DAVID BOIES: I think that there’s a climate in Washington that is — wants to show aggression in terms of regulation. I think that — that’s not necessarily a bad thing.

But I think you’ve got to be careful that when you bring an SEC complaint as opposed to bring a bill to change procedures or to add new regulations that you’ve got something that is improper under existing law.
And looking at the complaint, I don’t see where that is right now.

Watch it all (a little over 34 minutes).

Posted in * Culture-Watch, * Economics, Politics, Corporations/Corporate Life, Credit Markets, Economy, Housing/Real Estate Market, Law & Legal Issues, Stock Market, The Banking System/Sector, The Credit Freeze Crisis of Fall 2008/The Recession of 2007--, The U.S. Government