SEC Issues Subpoenas in Banking Probe

The Securities and Exchange Commission has reportedly subpoenaed Goldman Sachs(GS Quote) and other top banks and hedge funds in its probe into the rumor mongering that has hammered Wall Street's biggest banks during the credit crunch.

Bloomberg, citing three people with knowledge of the matter, said the SEC's enforcement division has demanded trading records and emails from Goldman, Deutsche Bank(DB Quote) and Merrill Lynch(MER Quote) as they probe possible manipulation of Bear Stearns and Lehman Brothers(LEH Quote) stock.

The Wall Street Journal had earlier reported that more than 50 hedge funds, including SAC Capital Advisors and Citadel Investment Group, also have received subpoenas. ...