Reuters Reveals Goldman Knew About Seriousness of Probe But Didn't Disclose

Reuters scooped news on April 16 – the day Goldman got hit with a SEC fraud suit – that Goldman had known for months charges were a possibility. Reuters reported that Goldman had received a so-called Wells Notice and that the firm had even responded to the notice but had not disclosed it to shareholders. As the markets grappled with the news, the story of who knew what when became especially important as Goldman shares tumbled by more than 12 percent on the news of the charges. Competitors including Bloomberg News, The New York Times, and others all followed Reuters.