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Detailed text transcripts for TV channel - CNN - 20100427:14:31:00

Jersey heating repairman. jack fell behind on his mortgage, so far behind that he lost the house to a foreclosure. on monday it was put up for auction at the county hall of records. thank you for inviting me to appear today. reporter: this is hedge fund manager john paulson, he bet that jack and thousands of other americans would not be able to pay their mortgages. paulson bet right and made $1 billion. this is goldman sachs, the nation s most prestigious investment firm. goldman sachs set up the bet for john paulson. jack s house was one of the cards and goldman sachs was supposed to be shuffling the deck. german bank i kbbet that jack and thousands of other homeowners could pay their home mortgages. they bet wrong and lost $150 million. this is the u.s. securities and exchange commission. it says goldman sachs committed fraud by letting paulson pick the cards at the gambling table ....

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