Mr. Levin continues to hammer away at what one of the crucial elements of the "whale" saga: what Mr. Braunstein said during the April 13 call. His line of questioning turns to what should have been disclosed to investors then.
"Should investors have known during that call that the status of the S.C.P. was not that great?" Mr. Levin asks, referring to the synthetic credit portfolio that was at the heart of the chief investment officer's trades.
"You give this very glowing call, it's been approved by central, it's gone through risk managers," he adds, "instead of telling them what you knew, which is that the S.C.P. had been losing money and violating risk limits."
Mr. Braunstein responds that based on what he knew at the time, it was the most accurate depiction.
That seems to infuriate the senator. "You thought that was a balanced presentation?" he asks.
Mr. Braunstein reiterates that it was "accurate." The senator replies that it wasn't, based on the information available at the time.
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