Fabrice Tourre, accused of fraud for his role at Goldman Sachs in the housing market collapse, said he’d done a good job at work and asked a jury to restore his reputation and let him get on with his life.
Bloomberg News reports that in closing remarks Tuesday in a trial over a deal linked to one of the causes of the worst economic slump since the 1930s, Tourre’s lawyer said a portfolio of subprime mortgage-backed securities, on which Goldman client Paulson & Co. made $1bn in a bet it would fail, was a good investment.
The 34-year-old Frenchman is 'a remarkable young man' who is entrusting his case to a U.S. jury, John 'Sean' Coffey said in Manhattan federal court. The two-week-old trial is scheduled to go to the jury Wednesday, to decide whether he’ll be freed, or face fines and a possible lifetime ban from the securities industry.
The Securities and Exchange Commission alleged Tourre, a former vice president at Goldman Sachs, intentionally misled participants in a 2007 deal known as Abacus about the role played by John Paulson’s hedge fund. The SEC claims Tourre hid that Paulson helped choose the portfolio of subprime mortgage-backed securities underlying Abacus, then made a billion-dollar bet it would fail.
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