The ironing is delicious

Goldman Sachs, a major underwriter of bonds for the state of California, is now advising some of its trading partners to short those bonds which it previously sold. An excerpt from an article in the LA Times:

Goldman, Sachs & Co. urged some of its big clients to place investment bets against California bonds this year despite having collected millions of dollars in fees to help the state sell some of those same bonds...

Some experts said the investment bank's actions, while not illegal, might be inappropriate. "That's not a good way to do business," said Geoffrey M. Heal, professor of public policy and business responsibility at Columbia University. "They've got a conflict of interest and they're acting against the interest of their customers. . . . You act in the interests of your clients. You don't screw them, to put it bluntly."

OOOOOHHHHH. No he di'nt!! NO. HE. DI'. NT. "Screw"?! HA. Give 'em Hell, Heal!

http://www.latimes.com/business/la-fi-goldman11-2008nov11,0,1943014.story?dbk