The PBS Newshour investigates whether Goldman Sachs is making money with taxpayer money, their front loading, are they really a hedge fund and how they used taxpayer money to make profits in a two part video series, 20 minutes, embedded below.
Inside Goldman Sachs, Record Profits, Part I
Only 1/10th of their record profits came from revenues, most came from their own private accounts, so in essence, Goldman Sachs is acting as a proprietary trader (hedge fund). It also mentions flash trading or front running.
How Goldman Sachs turned Tax money into Profits, Part II
Part II focuses in on the glorified back door bail out of getting free money from the Federal Reserve and then buying Treasuries, which is an automatic gain on the spread.
One quote from David Stockman:
There has never been more of an Easy Money Scam that I can remember in modern economic history.