Tourre Lawyers Spare Jurors Some Jargon at U.S. Judge’s Urging
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The Manhattan judge hearing the Fabrice Tourre securities-fraud trial urged lawyers to “have a heart” and not assume jurors speak Wall Street.
The U.S. Securities and Exchange Commission sued Tourre and Goldman Sachs Group Inc. in 2010 over Abacus 2007-AC1, a synthetic collateralized debt obligation, in which investors betting on mortgage bonds lost more than $1 billion. The agency claims Tourre concealed the role of Paulson & Co., the hedge fund run by John Paulson, in selecting the assets in the Abacus portfolio -- assets Paulson was betting would fail. Goldman Sachs paid a then-record $550 million fine to settle the claims.