“As the civil fraud trial approaches of former Goldman Sachs Group Inc vice president Fabrice Tourre, the two sides are focusing on a key witness and whether her own legal troubles could affect her testimony.

“The U.S. Securities and Exchange Commission has said Laura Schwartz, who worked at a bond insurer, can help establish how Tourre misled investors in a complex structured mortgage transaction.

“But Tourre’s lawyers say that Schwartz has a motive to “shade her testimony” because she is herself under investigation by the SEC in a similar case.

“Before the trial starts on July 15, U.S. District Judge Katherine Forrest in Manhattan must decide the extent Tourre’s lawyers can obtain documents related to the investigation that could be used to undermine Schwartz’s testimony against Tourre.”

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