Enron law firm sues Goldman Sachs

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The law firm that won Enron investors $7.2 billion in what was one of the largest class action suits in the history of securities law filed charges against Goldman Sachs on Monday.

Robbins Geller Rudman and Dowd filed the lawsuit in U.S. district court in Manhattan, aiming to recover investors' losses stemming from the fraud charges issued earlier this month by the Securities and Exchange Commission.

The suit, which currently names investors Howard Sorkin, Ilene Richman and "all other similarly situated" as the plaintiffs, is seeking class-action status.

It charges Goldman Sachs, as well as C-suite members CEO Lloyd Blankfein, CFO David Viniar, and President and COO Gary Cohn, with deceiving investors about the bank's financial conditions.

The complaint alleges that by failing to disclose conflicts in the sale of ABACUS 2007-AC1 -- the now-famed financial portfolio at the center of the SEC's charges -- Goldman Sachs caused investors to purchase the stock at artificially inflated prices.

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