Skip to main content
  1. Life
  2. Neighborhoods
  3. Real Estate & Construction

Wall Street's legal headaches related to mortgage securities may continue...

See also

Federal investigators are probing whether a number of Wall Street banks cheated clients in the years following the financial crisis by deliberately mis pricing a type of mortgage bond that was central to the economic turmoil.

The usual suspects under scrutiny: Barclays, Citigroup, Deutsche Bank, Goldman Sachs Group Inc., J.P. Morgan Chase , Morgan Stanley, Royal Bank of Scotland Group and UBS AG. They held billions of dollars worth of such securities.

The value of many of those securities plunged after the crisis.

The probe is being conducted by the Securities and Exchange Commission and the special inspector general for the Troubled Asset Relief Program, or Sigtarp.

Sigtarp, a watchdog set up in 2008 to root out fraud related to the crisis bailout, is involved because the banks under scrutiny sold residential mortgage-backed securities to entities partly funded by $475 billion of bailout money.



  • Randy Travis
    Randy Travis returns with 'Influence Vol. 2: The Man I Am' in August
    Today's Buzz
  • Alternative medicine
    Alternative medicine: Remedies to make the bugs in your body go away for good
    7 Photos
  • Beach body
    Fitness: Earn your beach body badge with bootcamp classes
    10 Photos
  • Back to school
    These 10 items are sure winners on your back-to-school shopping trip
    12 Photos
  • Izabel Goulart
    Izabel Goulart walks the runway with Studio F at Colombia Moda
    19 Photos
  • Ombre' technique
    Go for the gusto: What ombre' technique are you?
    5 Photos