(Adds details on district attorney's office)
Sept 6 New York prosecutors are widening their
investigation into the manner in which Goldman Sachs
marketed certain mortgage-linked securities before the financial
crisis, the Wall Street Journal reported, citing people familiar
with the matter.
The Manhattan district attorney's office began its probe
into Goldman following the release in April of a U.S. Senate
subcommittee report into the causes of the financial crisis, the
The district attorney's office has issued subpoenas to
Morgan Stanley and other investors in the deals. The
prosecutor's requests to investors, including some hedge funds,
concern how Goldman sold the deals, the Journal said.
Subpoenas do not indicate wrongdoing. They are formal
requests for information and do not necessarily mean charges are
forthcoming or likely.
A spokeswoman for Manhattan district attorney's office
declined to comment on the Journal report to Reuters. A Goldman
spokesman declined to comment to the Journal. The bank could not
immediately be reached for comment by Reuters outside regular
U.S. business hours.
(Reporting by Sakthi Prasad in Bangalore; Editing by Matt