Federal prosecutors are reportedly looking into whether Goldman Sachs has committed securities fraud.

The Securities and Exchange Committee referred its investigation of Goldman to The Justice Department for possible criminal prosecution, according to several media reports, including one by the Wall Street Journal, Thursday night. The reports cited sources familiar with the situation.

Earlier this month, the SEC charged Goldman with securities fraud for failing to tell investors that hedge fund Paulson & Co. helped select securities for a portfolio it was also betting against. Goldman has denied the allegations.

On Tuesday, seven current and former Goldman Sachs executives, including CEO Lloyd Blankfein, faced a blistering cross-examination from lawmakers about the firm’s role in the financial crisis in a hearing that lasted more than ten hours.

Goldman has been accused by Levin’s committee of betting aggressively against the nation’s housing market, making as much as $3.7 billion in the process.

Documents released by the committee this week also demonstrated that Goldman may have been engaging in other questionable practices.

Goldman has maintained that it too got hit when the U.S. housing market collapsed, losing some $1.2 billion in 2007 and 2008. It has also rejected charges that it bet against American homeowners or against its own clients.

Rather, the company has maintained it merely was trying to insulate itself from other large bets it made on residential real estate.

(Source: CNN Money)