Resigning exec rips into Goldman Sachs

March 14, 2012 at 3:59 PM
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NEW YORK, March 14 (UPI) -- A top level Goldman Sachs executive published a scathing editorial about the corporation in the New York Times Wednesday on his last day of work at the firm.

"Today is my last day at Goldman Sachs," begins the editorial written by Greg Smith, who is resigning as the firm's executive director and head of U.S. equity derivatives business in Europe, the Middle East and Africa.

The article says Smith has worked 12 years at Goldman Sachs in New York and London. His former pride in the company, however, has eroded.

"I can honestly say that the environment now (at the firm) is as toxic and destructive as I have ever seen it," he wrote.

He said he attends sales meetings in which the interests of the firm's clients are not even mentioned. The atmosphere at the firm is dominated by profits alone, he said.

"To put the problem in the simplest terms, the interests of the client continue to be sidelined in the way the firm operates and thinks about making money," Smith wrote.

Once selected to represent the firm in a recruitment video sent to college campuses, "I knew it was time to leave when I realized I could no longer look students in the eye and tell them what a great place this was to work," he said.

Smith said current Chief Executive Officer Lloyd Blankfein and President Gary Cohn have presided over an erosion of the firm's "moral fiber."

"If you were an alien from Mars and sat in on one of these meetings, you would believe that a client's success or progress was not part of the thought process at all," he wrote.

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