Goldman deal made in 'good faith' - Paulson

Hedge fund Paulson & Co has been forced on the defensive over the firm's role in the Goldman Sachs fraud dispute.

Manager John Paulson has written to investors defending the fund's actions as "appropriate" and made in "good faith", the BBC reports. The Securities and Exchange Commission (SEC) last week filed civil charges against Goldman claiming it misled investors over Paulson & Co's role in a sub-prime mortgage deal. Paulson & Co has not been accused of any wrongdoing, but the hedge fund still wrote to investors to stress its actions were above board. The letter follows a report in the Wall Street Journal claiming some investors in Paulson & Co had considered withdrawing their money from th...