Not too long ago, it seemed that Goldman Sachs (NYSE: GS) and the SEC (SEC news) were moving quickly toward a settlement. But CNBC now suggests that the same old sticking point has yet to be resolved.

Goldman Sachs' line in the sand is that it cannot admit to fraud in anyway. But the SEC has to show that it obtained a significant resolution to serious charges; it has to get the settlement through a federal judge. And we all know how it struggled in the case of Bank of America (NYSE: BAC). Until this is resolved, there can be no deal.

Of course, the smart money still holds that a settlement is likely. Goldman Sachs has way to much on the line. It cannot afford to risk a jury verdict against it, as it would affect its wealth management business and open the floodgate to civil litigation. Still, the bank is covering itself, preparing for a trial, should it come to the last option. That's only smart.

The risks are high for the SEC as well, as it would appear to have a less than air tight case. Some think it was hoping for a quick settlement. The saga continues. 

For more:
- here's the CNBC article

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