Recently we've been treated to what is known in journalism as "man bites dog" moments. There have been two, both related to that most despised of creatures, the short seller. In recent weeks, short sellers who wagered against the housing boom have been heralded as heroes, feted with a literary ticket tape parade in the form of Michael Lewis's best-seller The Big Short. And then -- wouldn't you know it? -- the second man-bites-dog moment cancelled out the first one.The Great Goldman Sachs (GS - Get Report) Fiasco -- a Securities and Exchange Commission lawsuit that took everybody by surprise -- has returned shorts to their accustomed role as the Hannibal Lecters of Wall Street. The SEC claims that Goldman schemed with short-seller John Paulson to rook investors in some toxic-waste mortgage derivatives. Paulson hasn't been charged, and Goldman maintains that it is as innocent as a newborn mouse romping in the hay. On Saturday, Goldman emails emerged from Capitol Hill showing the bank was romping in greenbacks by joining in the "big short" of mortgage securities.
Good Side of Short Sales Eclipsed by Goldman Emails: Gary Weiss
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