White collar thuggism….The SEC accuses Tourre of creating and selling a series of complex mortgage-backed bonds — dubbed Abacus 2007-AC1 — that were designed to fail, costing some investors large sums of money.
Tourre says a fellow Goldman employee dubbed him “Fabulous Fab,” but he used the nickname himself, most notoriously in a 2007 email to a friend: “The whole building is about to collapse anytime now…Only potential survivor, the fabulous Fab…standing in the middle of all these complex, highly leveraged, exotic trades he created without necessarily understanding all of the implications of those monstruosities!!!”
He is the only person named in the SEC’s civil lawsuit against Goldman. Also, his released emails make him sound a bit callous — in one, he told of selling some doomed Abacus bonds to “widows and orphans that I ran into at the airport” in Belgium; in another, he wrote, in French, that poor little subprime borrowers won’t last long; a third described his “Frankenstein” CDOs as “a product of pure intellectual masturbation” that “has no purpose…is absolutely conceptual and highly theoretical and which nobody knows how to price.”
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