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SEC porn scandal: Political payback for fraud suit against Goldman Sachs?

WASHINGTON – from www.nydailynews.com – The reemergence of a Securities and Exchange Commission porn scandal may be political payback for the agency’s fraud suit against Goldman Sachs, some officials suspect.

News of salacious Internet sex surfing by dozens of SEC supervisors actually broke months ago, but it got new life after the commission’s April 16 vote to act against the financial powerhouse.

GOP lawmakers have loudly slammed the decision, government sources noted.

Asked whether there was any connection between the lawsuit and the recently leaked inspector general’s report on downloading porn, SEC spokesman John Nester declined to comment.

But he said the agency has been explaining since February that it looked into every report of “inappropriate” behavior. The report named 33 officials. “Each of the offending employees has been disciplined,” Nester said. “Some have already been suspended or dismissed.”

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