Goldman Implicated In Heinz Insider Trading Probe

Tyler Durden's picture

When the news broke of the SEC's action against the HNZ call option insider traders, and we posted the full SEC charge against the perpetrators whose actions Zero Hedge reported on first, we asked this regarding one of the entities named: "the trade occurred through an "omnibus account located in Zurich, Switzerland in the name of GS Bank IC Buy Open List Options GS & Co c/o Zurich Office (the "GS Account")." Does GS stand for Goldman Sachs one wonders?" This followed our prior post, rhetorically titled "Guess Who Was Buying HNZ Stock From Its Clients", with the answer of course being Goldman Sachs, which had had HNZ stock at a Sell rating for months, and which just days before reiterated its negative sentiment. But for the most part the post was written in jest. Turns out the joke was on everyone else, because just as we feared, or rather knew, Goldman was indeed implicated all along.

From Reuters:

Goldman Sachs Group Inc is cooperating with a U.S. Securities and Exchange Commission probe into insider options trading in H.J. Heinz Co before the food company announced it was being acquired, Goldman said on Friday.


Earlier in the day, the SEC filed suit against unknown traders using an account in Switzerland to buy options in Heinz before the company was purchased. The SEC suit does not explicitly name Goldman Sachs but refers to the account in Switzerland as the "GS Account."

While none of this is surprising, we do find it curious that from "Vampire Squid", Goldman Sachs has now metastasized into "he who must not be named."

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edb5s's picture

Just doing God's work.  Nothing to see here.

redpill's picture

Seems like no matter which rock you lift up, there's a little Goldman that scurries away like a roach.  You can almost hear the legs swish as it madly attempts to get its filthy shit-eating body out of the light of day.

gmrpeabody's picture

I have it directly from Eric Holder (or very shortly will have, anyway) that there won't be enough evidence to bring charges...,

They will not make it to court.

Spider's picture

Yup thats the sad thing about our justice system, nothing in the end will happen (maybe a paltry fine if anything).  This country is going downhill fast because there is inustice everywhere...

nope-1004's picture

Greenspan:  The stock market is not only a leading indicator to economic recovery, but a major cause of it.

Clearly this economy is going to get better, with particular thanks today to Jesse Jr. and Goldman.  Now if we could just have 100% insider trading, reduced margin requirements to 0%, and more corporate Buffet-style theft, just think how well off main street would be !!

Wonder what variable the Fed uses for Theft in their economic models as we 'recover'?


Bananamerican's picture

"Turns out ... Goldman was indeed implicated all along".


Now let's see some more of those sweet ass Goldman charts

TruthInSunshine's picture

@nope - Greenspan actually said, and I'm doing my best merely to be precise here, that equity prices are determinative of 6% of the change in growth of GDP (which is probably some errant stat that he pulled from his demented asshole or arrived via some form of tortuous butchering-- or was a statistic that was fed to him by someone else that regurgitated mindlessly).

However, he not only came close to Irving Berlin's infamous (and 1929 pre-market crash) "stock prices have reached what appears to be a permanently high plateau" statement, but absolutely REPEATED IT ALMOST VERBATIM - check the cnBSc video of his interview with Maria "WhoooSheGotAbigAss" Bartiroma beginning at the two minute and 30 second mark.

He also said that the sequester was all but guaranteed, and made some other flippant, casual statements of "Greenspaniasms" (a Greenspaniasm is a statement made in such a way that it's treated as if it should carry tremendous weight and credibility, when in fact, the opposite is true, based on the accuracy -- or lack thereof to be more precise -- of his past predictions).

BaBaBouy's picture

It's OK ... Just One Call From Mr. FineBlank And The Whole Scandall Will Vaporize Into Thin Air ...


Business As Usual...

Harlequin001's picture

So, by not naming the 'GS Account" properly the SEC are hoping to get away without charging them as well eh?

TBTP - Too Big To Prosecute.

the misanthrope's picture

that's quite a slip there truth - we know you mean fisher, not berlin .

TruthInSunshine's picture

Right. I was thinking of "Blue Skies" (from the great crash/depression era), probably.

Blue Skies - 1927 - Irving Berlin
11b40's picture

It would make a great play.  Take it to Broadway.

WALL STREET!  The Musical!

After all, look at how successful Les Miz has been.

CIABS's picture

TruthInSunshine:  Sorry, don't have time to watch the video, but the zerohedge reports says that he said "6% of the change in the growth in GDP results from changes in the value of stocks and homes."  So, not even 6% for stocks.  So how much?  3%?

This theory that reflating stocks (and other assets) will bring the economy back to what they call health seems to me like a cover for giving elites the opportunity to sell high and then to continue shaking the stock-market tree as they've been doing since the end of 1994.  Not a new and original theory, I realize.

TruthInSunshine's picture

Good catch. It's hard enough to follow him when he's even semi-lucid, which is rare.

HoldingHemen's picture

So lets conclude; pumping some trillions into the economy, thus yielding a result of inflated securities prices, and what do we have? Yes of course Mr. Greenspan, an economy much better than before.

azzhatter's picture

Blankfuck probably put a listening device on the rubber ducky in Warren's tb. He may have some intel on Becky Rottencrotch too

philipat's picture

Lets see, they made about $2 Million (At least in the identified Account) so the fine would typically be about $200K.

ToNYC's picture

GS to Eliz Warren: TBFT

Money is the Mother's Milk of politics and you don't jail your mother's helper no matter what your crazy aunt in the attic is railing about.

Shell Game's picture

There is no Pluto-crime big enough to punish.  

a growing concern's picture

Cue GS to appoint some underling to be the sacrificial "rogue trader" that they'll throw under the bus and send to prison for 18 months.  I'm sure said rogue trader will be handsomely compensated in the end, though.

GolfHatesMe's picture

Is David Sokol at the Squid now?

I am on to you's picture

Just ,Orphans and widdows!

chubbar's picture

OT, and speaking of fraud, the Supreme Court will rule this Tuesday on whether the case against Obama proceeds to a full hearing. We americans get to see whether the Supreme court is fully compromised or not since the case is so important and with so much evidence he is a fraud.


President Harrison J. Bounel

February 15, 2013 by Bob Livingston

Who is Harrison J. Bounel? According to the 2009 tax return submitted by President Barack Obama, he’s the President of the United States. All nine U.S. Supreme Court Justices are scheduled to discuss this anomaly today.

The case in question is Edward Noonan, et al v. Deborah Bowen, California Secretary of State, and the Justices are finally looking at it thanks to the dogged determination of Orly Taitz. The case calls into question many of the documents Obama (Bounel, Soetoro, Soebarkah, etc.) has used and/or released as authentic since he came on the national scene. The case contends that the documents — birth certificate, Social Security number, Selective Service registration, etc. — are fakes or forgeries. If that’s the case, Obama should not have been on the California ballot in 2008 and, therefore, should not have received the State’s electoral votes.

Four of the nine Justices must vote to move the case forward. We’ll see.

Meantime, on Feb. 4, Kathleen O’Leary, presiding judge of the 4th District Court of Appeal, reinstated the appeal of Taitz v. Obama et al filed by Taitz when she ran for Senate. That case involves evidence of 1.5 million invalid voter registrations in the State of California. The appeal also involves Obama’s lack of legitimacy to hold the office of President based on his forged IDs, stolen Connecticut Social Security number, the fact the last name he’s using is not legally his and his fraudulent claim to be the U.S. citizen.

Evidence in the case includes:

  • A certified copy of the passport records of Obama’s mother, Stanley Ann Dunham, showing her son’s legal last name to be Soebarkah, not Obama.


  • Obama’s school records from Indonesia, showing his citizenship to be Indonesian.


  • Sworn affidavits of top law enforcement experts and investigators, showing Obama’s birth certificate and Selective Service certificate are forgeries and that the Social Security number used by Obama on his 2009 tax returns as posted on was fraudulent. (The SSN failed when checked through both E-Verify and the Social Security Number Verification Service.)

On another legal front, Obama defaulted in the case of Grinols et al v. Obama et al on Jan. 30 when he failed to file a response within 21 days of being served notice of the suit. This case also involves Obama’s phony SSN.

The suit states:

[I]nvestigator Albert Hendershot found in the database of the name of the individual whose Social Security Obama is using. Acxciom-batch-solutions showed (Exhibit 1) that Harry J Bounel with the same Social Security number xxx-xx-4425 at 5046 S Greenwood Ave in Chicago, home address of Barack Obama, Database shows Bounel with the same address and Social Security number as Barack Obama himself. According to the databases last changes to the information on Harrison (Harry) J Bounel were made in and around November 2009 by Michelle Obama, who is listed as Bounel’s relative. Database changes can involve entering the information or deletion of information. It appears that changes made by relative Michelle Obama included deletion of information, which was done at a time when Taitz brought to Federal court in the Central District of California before Judge David O. Carter a case of election challenge by her client, former U.S. ambassador Dr. Alan Keyes and 40 state Representatives and high ranked members of the U.S. Military.

Recently obtained results of the 1940 census, Exhibit 2, provided the last missing link, link (sic) between Harry J. Bounel and the date of birth of 1890. Exhibit 2 shows the printout of the U.S. census, showing Harry J Bounel, immigrant from Russia, residing at 915 Daly Ave, Bronx, NY, age 50 during the 1940 census, meaning he was born in 1890, as shown in the affidavit of Investigators Daniels and Sankey.

There is a pattern of Obstruction of Justice and tampering with the official records and falsification/forgery of the official records related to Obama. This happens in particular when [George W.] Bush employees leave their positions and are replaced by Obama appointees.

Taitz has asked for expedited default judgment and post judgment discovery in this case out of fear that any records on hand at the Social Security office will be destroyed when George W. Bush-appointed Commissioner Michael Astrue leaves office in February. Records that might have proven Obama’s Selective Service registration was a forgery were destroyed in 2009 after Bush-appointed Selective Service Director William Chatfield resigned, Taitz alleges."

11b40's picture

This is WAY off topic.  Are you trolling for Goldman?  Trying to hijack the thread?  Take this over to Matt Drudge or Breitbart and leave us alone.


11b40's picture

What do we have here?  Another birther intellectual?  Another goldman troll?

ToNYC's picture

To the victor, goes the spoils. Bye-bye, Birthers, Bye-bye.

ajax's picture



Show me Orly Taitz' birth certificate.

ForTheWorld's picture

Did you even proof read what you copied and pasted? One paragraph contains this:

(The SSN failed when checked through both E-Verify and the Social Security Number Verification Service.)

Versus this, two paragraphs later:

[I]nvestigator Albert Hendershot found in the database of the name of the individual whose Social Security Obama is using. Acxciom-batch-solutions showed (Exhibit 1) that Harry J Bounel with the same Social Security number xxx-xx-4425 at 5046 S Greenwood Ave in Chicago, home address of Barack Obama,

So, the SSN is either valid, or it isn't. Which one?

11b40's picture

Don't be confusing the mental midgets with facts and/or inconsistencies, neither of which matter to them.

Dewey Cheatum Howe's picture

It's a forged SSN number of a dead individual. It would fail E-verify since the person in question is legally deceased (i.e. death certificate) as far as the paperwork trail goes.

And since you quote of out of context.

Harry J Bounel with the same Social Security number xxx-xx-4425 at 5046 S Greenwood Ave in Chicago, home address of Barack Obama, Database shows Bounel with the same address and Social Security number as Barack Obama himself.

2 people, 1 SSN number. If Mr. Bounel is not the same person as Barack Obama then the lawyers should be able to drag a live body down with all the necessary background paperwork disproving it outright. If not and they pull out a dead corpse, there should be a clear paperwork trail from death certificates to birth records to disprove it. Anyone that does background checks for security clearances can debunk or prove that it is a fake identity.


And you have this winner which is probably unanswered.

A certified copy of the passport records of Obama’s mother, Stanley Ann Dunham, showing her son’s legal last name to be Soebarkah, not Obama.

If he changed his last name and it was not legally done, that is a crime in and of itself irrespective of proof of citizenship.


The state department public diplomancy board trolls along with the obamaites are on a downvoting spree over this one. Don't like that truth flashlight now do you.

11b40's picture

How long do you plan to beat this dead horse?  Been hearing this shit for 5 years now.  Grow up and get over it.  Find some more productive uses of your time and quit clogging up the boards and hijacking threads.  If you really are bored, go outside and piss against the wind.

Dewey Cheatum Howe's picture

They are legitimate questions. You want it to go away answer them reasonably. If that is the best you got, quit while you are ahead. Last time I checked, freedom of speech aka the 1st Amendment made no restrictions on dead horse beating or question asking. You are more than welcome to your rebuttal but your answer delegitimizes your position. We have a little class and allow for dissent (even welcome intelligent rebuttals) even if we are fringe low brow tinfoil hat paranoia types.

11b40's picture

Look, you can ask any questions you want to, but pray tell what this has to do with the financial topic being discussed?

We have all heard this over and over, and it is of very little interest to but a tiny number of readers.  Thread hi-jacking is very tiresome

I also wonder if the "we" you mention as having a little class includes Hedgetard55 and his brilliant 2 word reply of "Fuck you" a few posts up when I suggested taking this birther stuff elsewhere?

roadhazard's picture

I love right wing "birthers". They will let you know themselves they are morans. And way to try and redirect, the conversation, dirtbag. Back in your clown car.

ToNYC's picture

God is Everywhere and sees you like Santa Claus should. No go back to bed.

mantrid's picture

who could have thought

Cdad's picture

This is great.  

a) Another confirmed case of Goldman treating its own clients like muppets...shaking their tree on those HNZ shares right before the announced buyout.

b) Also confirmation that they were still too short the name right before the buyout and were willing to commit these insider trades in options so as to not be hurt by the announcement, or perhaps just less so.

c) This incident also confirms that the SEC CAN actually identify and locate illegal trades, perhaps the most important part of this story.  Makes you wonder why we aren't getting ten or twenty of these stories per week.  We all see this stuff happening everywhere

d) Another confirmation that at the heart of it's Goldman Sachs...again.

Now, we all know that the punishment will likely end in a fine that is equal to or less than 15% of the proceeds of all illegal activity in this case...however, in the game of upright Dominoes, one never really knows what it will be that tips the first one over. And since the global Ponzi scheme is actually a game of some $250 trillion of derivatives strung across the globe like a giant spider web, I submit to you Goldman Sachs is the spider in the center of the web...and obviously so.

Get to work there, dear SEC.  We're all watching.


Oh...and this little ditty is also pretty good confirmation on just how good old Warren Buffet obviously paid far too much for the stock, a fact that does not actually need to be confirmed in this way...but a nice little bonus...or "strawberry on top."  Anyone want more Berkshire in their portfolio after that move?


chubbar's picture

They obviously have improved their tracking ability since the 9/11 bit airline short that was never able to be tracked down.

11b40's picture

Only time will tell, but if Elizabeth Warren keeps pounding the regulators like she did Thursday, we could have a game changer on our hands.

This pile crusted-over feces is so rank and putrid, just disturbing it a little bit causes such a stink to rise that even a deaf muppet could be outraged over the smell.  Suddenly, someone has the audacity to ask the basic questions in public and on TV that everyone else had ben tiptoeing around.

She is their worst nightmare.  It's kind of like the little who said out loud that the Emporer has no clothes.....on the Senate Banking Committee.

Elizabeth Warren Embarrasses Hapless Bank Regulators At First Hearing (VIDEO)


ajax's picture


Lord knows Brooksley Born had the chance and the platform to do it but sat there mumbling in front of Blankfein et al like an octogenarian in desperate need of a glass of water... 


francis_sawyer's picture

Make Lloyd Blankfein eat a jelly donut while the rest of the plattoon does push-ups... Show 'em u mean business this time...

Buckaroo Banzai's picture

I'll be the guy who holds him down with a towel, and the rest of you can beat him with bars of soap inside a gym sock, OK?

ParkAveFlasher's picture

Let's just skip to the suicide, Francis.

optimator's picture



 M-I-C... k-e-y... l-o-u-s-e

(fixed it)