Tourre Loses Tentative Ruling on ‘Fabulous Fab’ E-Mail

Former Goldman Sachs Group Inc. executive Fabrice Tourre tentatively lost a bid to keep an e-mail message in which he refers to himself as “Fabulous Fab” from being introduced as evidence at trial.

U.S. District Judge Katherine Forrest in Manhattan, in a preliminary decision filed yesterday, overruled Tourre’s objection to the Securities and Exchange Commission using the e-mail in its opening statement. The case, in which Tourre is accused of misleading investors in a synthetic collateralized-debt obligation, is scheduled to begin July 15.

John “Sean” Coffey, a lawyer for Tourre, argued in court July 8 that the e-mail, which Tourre sent to his girlfriend in London, was personal and had nothing to do with the issues in the trial.

In the Jan. 23, 2007, e-mail, Tourre wrote: “More and more leverage in the system, 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!!!”

Coffey didn’t immediately respond after regular business hours yesterday to a call seeking comment on the tentative ruling.

The case is SEC v. Tourre, 10-cv-03229, U.S. District Court, Southern District of New York (Manhattan).

Before it's here, it's on the Bloomberg Terminal.