“There was nobody involved in this who didn’t know what was going on, no matter what they say,” she said. “We all knew.”

Goldman is forced into one of the more unconvincing defenses of the year:

Goldman spokesman [Michael] DuVally said that the firm’s standards for reviewing the loans were “at least as high, if not higher, in 2006 than they were in 2002.”

But he didn’t elaborate on what scrutiny was demanded.

This is new information from McClatchy. Dismissing this kind of work is, again, a mistake.

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Dean Starkman Dean Starkman runs The Audit, CJR's business section, and is the author of The Watchdog That Didn't Bark: The Financial Crisis and the Disappearance of Investigative Journalism (Columbia University Press, January 2014). Follow Dean on Twitter: @deanstarkman.