Goldman Sachs made money on housing crash

Of course they did. That is how capitalism works. There are winners & losers. Goldman has weathered the Great Recession far, far better than almost anyone.

Yet, from McClatchy's article:

"The Securities and Exchange Commission should be very interested in any financial company that secretly decides a financial product is a loser and then goes out and actively markets that product or very similar products to unsuspecting customers without disclosing its true opinion," said Laurence Kotlikoff, a Boston University economics professor who's proposed a massive overhaul of the nation's banks. "This is fraud and should be prosecuted."

Let's assume they're innocent just out to make a buck.

Here's the fun part. On their "public books" is it that far fetched they sell crap while simultaneously "hedging" in their opaque off balance sheet unregulated dark pools?

What motivation would they have not to drive the economy off a cliff if they saw everybody speeding to it?